Analyst and trader Justin Bennett is issuing a warning on Bitcoin (BTC) amid the flagship crypto asset’s single-digit correction over the past couple of days.
Bennett tells his 111,500 followers on the social media platform X that Bitcoin could fall below $60,000 before trending higher.
According to the cryptocurrency analyst and trader, Bitcoin needs to turn resistance levels into support levels to confirm an uptrend.
“But a sweep without a reclaim is a potential break with follow-through and probably not something you want to long.
The reclaim is the trigger. It’s what tips the scales from possible to probable.
No trigger, no trade.”
Bennett further says,
“Downtober before Uptober in my opinion.
Given the last six months of price action, what are the odds that the BTC September candle doesn’t get partially retraced before the next rally?”
In September, Bitcoin hit a low of around $52,500 and a high of about $66,500.
According to the cryptocurrency analyst and trader, the Tether (USDT) dominance level (the ratio of USDT’s market cap relative to the rest of the crypto market) must fall before Bitcoin can rally.
“For Bitcoin to reach all-time highs, Tether dominance must break its 2018 trend line. There’s no other way.
That’s not a bearish crypto comment, it’s just an observation. All trend lines break eventually.
This will also be the most painfully obvious signal that BTC is ready for all-time highs.”
Bitcoin is trading at $61,145 at time of writing.
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