A widely followed crypto analyst believes Bitcoin (BTC) is poised for one more liquidation event before sparking a fresh bull run.
Trader Justin Bennett tells his 112,400 followers on the social media platform X that Bitcoin’s heatmap suggests that BTC bulls have piled up long positions at $57,000.
The crypto strategist thinks that the market will likely hunt the liquidity zone to shake out those who were early before BTC witnesses a big upside move.
“The size of the BTC long liquidations at $57,000 is FAR greater than the shorts we saw liquidated at $63,000.
It would be a shame if Bitcoin took these out before the real rally begins, especially now that I’m once again an idiot for suggesting more ranging from a market that’s ranged for seven months.”
Looking at Bitcoin’s chart, Bennett says the fall to $57,000 will be confirmed once BTC breaks its immediate support level.
“Markets love symmetry, and this lines up perfectly with those Bitcoin long liquidations at $57,000.
It also intersects with the BTC Sept. 2023 trend line.
The trigger for this move is a sustained break below $62,300.”
At time of writing, Bitcoin is trading for $62,139, slightly below the trader’s key area.
In late September, Bennett predicted that a big rally to $70,000 would follow the correction to $57,000.
“The conditions favor sweeping the BTC $57,000-$58,000 longs before targeting the $68,000-$70,000 liquidity.
Invalidation on a sustained break above $65,000.”
Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Follow us on X, Facebook and Telegram
Surf The Daily Hodl Mix
 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: Midjourney
The post Trader Issues Bitcoin Warning, Says BTC Bulls Likely To Be Liquidated Before Real Rally Begins appeared first on The Daily Hodl.
