Bitcoin price correction hints start of altseason, trader suggests


The Bitcoin (btc) the price recorded a sharp correction on December 11, falling 7% and eliminating profits from the last seven days. The sharp price correction pushed BTC to a four-month low of $41,329.

A drop in altcoin prices followed the Bitcoin price correction, with many recording double-digit declines. However, market experts and analysts believe that the recent price decline is part of the ongoing price cycle and after two months of bullish growth, a correction is not a surprise.

The crypto analyst and co-founder of Reflexivity Research said the market correction and volatility shakes off weak hands and cools highly leveraged crypto markets.

Cryptocurrency trader Remen wrote in an X post that he believes the recent dump could push altcoins into another bull run. He added that Bitcoin will need a long period of swings to resume an uptrend as Bitcoin dominance has peaked.

The sharp market decline earlier on Monday also liquidated more than $400 million of leveraged crypto positions, cleaning the market. However, Bitcoin price has since recovered above $42,000.

Related: Bitcoin Dominance Threatens 'Likely Top' Even as BTC Price Targets $45,000

BTC's price momentum began in October and helped the world's leading cryptocurrency make significant gains, gaining almost $10,000 in the last month. However, BTC price has been stuck in a sideways movement for almost six months. Hitesh, another crypto analyst, pointed towards BTC price breakout after almost six months of sideways price action.

BTC price has gained 50% since the price breakout in late October. Hitesh pointed to on-chain data suggesting that accounts with more than 1 BTC were continuously purchasing BTC and whales were accumulating Bitcoin. Institutional influx and growing interest from financial giants amid a push for the top spot in the Bitcoin ETF have generated the right momentum for BTC ahead of the key Bitcoin reward halving event in April 2024.

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