An anonymous trader renowned for his accurate Bitcoin predictions believes that the current correction in BTC’s price is beneficial for the long-term upward trend of the leading cryptocurrency.

Dave the Wave, a pseudonymous analyst with a large following on social media, asserts that Bitcoin’s recent dip below $60,000 has dashed hopes of a parabolic surge for BTC. Instead, he suggests that the price action indicates more consolidation in the near future, which will allow Bitcoin to establish a stronger foundation for a significant rally later in the year.

“The absence of a parabolic rise in BTC’s price is actually a positive sign, as it indicates that the cryptocurrency is developing in a relatively stable technical manner. This consolidation phase will pave the way for renewed strength in the fourth quarter. If a manic market were to occur at a later date, it would likely bring higher prices compared to an earlier surge.”

Dave the Wave recently made a prediction that Bitcoin could potentially drop to $50,000, which is expected to be a crucial support level based on the 0.382 Fibonacci retracement level. According to his logarithmic growth curve (LGC) model, this decline would place BTC back in the “buy zone,” allowing it to gather momentum for a future upward move.

The analyst emphasizes that this deep retracement would position Bitcoin favorably for a strong recovery. As of now, Bitcoin is trading at $60,357, up from its lowest point in the past 24 hours at $58,443.

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