“It’s scary when the price of bitcoin just goes straight up,” said James Putra, vice president of product strategy for TradeStation Crypto. “This pullback was needed.”
So the drop of the past few days is a “healthy correction” that “was due a long time ago,” according to Naeem Aslam, chief market analyst at AvaTrade.
Even with the drops over the weekend and Monday, bitcoin is still up more than 10% already in 2021 — and it has soared about 300% in the past 12 months.
Aslam said in a report that bitcoin might fall to the $28,000 to $30,000 level before bottoming out.
“This is not the time to panic but to look at this opportunity from a more optimistic lens,” Aslam said, “as the bull run is not over yet, and it is still likely to make its journey to the upside.”