Bitcoin and select altcoins rallied sharply in Q1 2024, but the near term may witness a correction.
Risky assets have been on a roll in the first quarter of 2024. The S&P 500 Index (SPX) rose 10.2% to record its best first-quarter performance since 2019, while Bitcoin (BTC) rallied nearly 69%. Will the rally continue into the second quarter, or is it time for profit booking?
Investors remain upbeat on Bitcoin’s prospects for the second quarter. Expectations of a pick up in institutional demand for spot Bitcoin exchange-traded funds and Bitcoin’s halving is helping maintain the bullish sentiment.
Traders need to be careful after the strong Q1 performance because nothing goes up in a straight line. Bull markets are known for their sharp corrections, which shake out the late entrants. However, the dips offer a low-risk buying opportunity to the long-term investors.
