Axel Adler Jr., an analyst at crypto analytics firm CryptoQuant, noted that the Bitcoin market has entered a critical period and that the price direction in the coming weeks will depend on three key “lifelines.”
CryptoQuant: Three Critical Price Levels Are Crucial to Maintaining Bitcoin's Uptrend
According to the analyst, Bitcoin needs to maintain the levels of $87,000, $79,000 and $74,000 in order to maintain a healthy market structure.
Adler Jr. emphasized that $87,000 is Bitcoin's “fair value” level, adding that staying above this price is critical for a long-term uptrend.
The second level, $79,000, represents the average price of spot Bitcoin ETFs in the US. A drop below this level would put ETF investors in loss territory and could lead to increased selling pressure.
The third and lowest critical threshold, $74,000, is defined as the lower end of the short-term volatility range. Maintaining this level is considered crucial for the downtrend to remain a limited correction.
According to the analyst, maintaining these three levels suggests the current price action could be a “hard shake” within a strong bull cycle. However, if Bitcoin breaks below these lines, particularly a drop below $87,000, could dramatically increase market risk and signal a deeper correction or the start of a new bear market.
*This is not investment advice.
Continue Reading: Crypto Analysis Firm CryptoQuant Analysts Reveal Bitcoin's Avoidable Levels! Here Are the Details
Source: https://en.bitcoinsistemi.com/crypto-analysis-firm-cryptoquant-analysts-reveal-bitcoins-avoidable-levels-here-are-the-details/
