Bitcoin Faces Increased Correction Risk

A closely followed crypto analyst and trader warns that Bitcoin (BTC) is at high risk of a deeper correction.

In a recent post, crypto trader Justin Bennett shared with his 115,900 followers on the social media platform X that Bitcoin’s market structure is weakening as it struggles to regain $92,000 as support.

> “How do some people still not get it? Bitcoin closed February below $92,000. That happened. There’s nothing else to wait for. So far, March has found resistance there. As long as BTC is below $92,000 on a monthly closing basis, there’s every reason to be cautious on a macro level.”
> Source: Justin Bennett/X

The analyst noted that even if Bitcoin shows some strength this month, it remains at risk of collapse if it fails to close March above $92,000.

> “Nice reclaim of BTC $81,500 + retest. US CPI (Consumer Price Index) came in lower than forecast after some hot January numbers, so most likely some relief from risk assets. I can see $88,000 and possibly a $92,000 sweep, but from there, all eyes shift back to the February breakdown I’ve discussed.”
> Source: Justin Bennett/X

Bennett also pointed out that, based on Bitcoin’s historic correlation with the performance of stocks, a market bottom is not yet likely for BTC as the S&P 500 is correcting.

> “And if the S&P monthly structure since the Great Financial Crisis (that I’ve shared 117 times) is any indication, we still have a ways to go before we can start talking about a meaningful bottom.”
> Source: Justin Bennett/X

At the time of writing, Bitcoin is trading for $80,916, down 3.2% in the last 24 hours.

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