Time to Buy the Bitcoin Dip? Experts Weigh in on the Opportunity Following the Crash

Over the past few days, cryptocurrency markets have fallen by 15% with over $350 million exiting the space.

Monthly support levels were broken sending the crypto asset to its lowest levels since late February as bearish sentiment returns.

However, a 28% market correction is not new, and has happened several times during every market cycle.

Cryptocurrency corrections are normal.

Cryptocurrency expert and Bitcoin pioneer Adam Back said that previous highs have seen about half a dozen 30% declines.

“In fact, the recent declines appear to have been shallower, but people forget the normal bull market pattern,” he said before advising against panic selling.

Reminder, zoom out. Previous uptrends also had half a dozen -30% downtrends. We’re now at around -26% (-27% previously).

In fact, recent declines seem to be shallower, but people forget the normal bull market pattern. Don’t panic, buy the dip or buy a little bit of $CMSTR with… pic.twitter.com/vBOjFN1TOn

— Adam Back (@adam3us) July 5, 2024

“History is repeating as we speak,” the Rect Capital analyst noted, adding that if the patterns repeat, “Bitcoin could peak in this cycle in mid-September or mid-October 2025.”

he Proposal This correction is necessary to resynchronize market cycles with historical patterns.

“The longer Bitcoin consolidates after the halving, the better it will be for this current cycle to re-synchronize with the traditional halving cycle.”

Charles Edwards Founder of Capriole Fund comment That this market correction was “long overdue” after “the longest winning streak in Bitcoin history.”

Crypto Capo Analyst and Trader Tell His 859,000 followers on X “At this point where many are panicking and selling, I don’t think it’s appropriate to turn bearish/sell. It’s time to step back and calm down.”

Huge opportunity

Cryptocurrency Analyst Miles Deutscher comment“This is one of the most obvious long-term setups I’ve ever seen.”

He acknowledged short-term selling pressures caused by Mt. Gox redemptions and the German government’s asset disposal.

However, he also noted several long-term bullish factors such as institutional buying via Bitcoin and Ethereum ETFs, the upcoming US elections that could change the outlook for cryptocurrencies, and FTX’s $16 billion payout to clients.

“It seems like a huge opportunity,” he said.

With the end-of-year and election season, liquidity should be in crypto’s favor, added Will Clemente, co-founder of Reflexivity Research. “There will no longer be the massive oversupply that has been looming in the market for years,” he added, referring to redemptions from crippled exchanges and government sell-offs.

The flip side of the Gox/Germany/Silk road BTC panic is that in late Q3 or Q4 with seasonality, elections, and likely liquidity on the crypto side, there will no longer be the massive oversupply that has been looming in the market for years.

— Will (@WClementeIII) July 5, 2024

In a post on X on July 5, Bitcoin pioneer Samson Mu said there was no need to panic as selling pressure was minimal.

“The ultimate pain is weak hands selling their bitcoin now, expecting a long-term wave of selling from Gox and Germany, but this selling pressure has turned out to be negligible.”

Cryptocurrency markets have lost 15% so far this month with total market capitalization falling to just over $2 trillion, its lowest level in four and a half months.