Why does Bitcoin sometimes experience price corrections after reaching new highs?

Bitcoin price corrections occur when the market undergoes a temporary pullback after a strong rally. These corrections are natural and help prevent excessive speculation. Traders often take profits after Bitcoin reaches new all-time highs, causing temporary price drops. Additionally, large investors, or “whales,” may sell off portions of their holdings, leading to short-term volatility. However, these corrections often serve as opportunities for new investors to enter the market. Tracking these patterns with real-time data from btc price live can help traders make informed decisions.