Crucial Bitcoin Price Mark to Keep an Eye On
In the world of cryptocurrency, Bitcoin (BTC) continues to make headlines as it navigates through the current market conditions. As of writing, the digital asset is trading at $113,344.17, representing a 1.64% decline in the last 24 hours.
Despite the recent drop of over $2,000 in the last 24 hours, holders who are in profit are unlikely to experience sell pressure. This is due to the fact that approximately 91% of Bitcoin in circulation are "In The Money," with a value of $2.08 trillion. However, more holders may remain in profit and watch for further price movements before taking a sell decision.
The broader financial market uncertainty might slow the rebound, even as volume remains in the red zone by 21.79% at $67.56 billion, indicating cautious investor behavior. This uncertainty is not specific to Bitcoin, but is a broader trend affecting the overall market.
Technical indicators suggest that a successful breakout rally could trigger a spike to $150,000. If Bitcoin can flip the resistance level at $115,891, it has the potential to witness a breakout rally. However, the current price does not necessarily mean that it will not suffer more dips.
The current key resistance level for Bitcoin is around $116,000 to $116,800, with specific resistance points identified at $116,155 (Supertrend resistance) and $116,800. A break and hold above this zone could trigger a significant bullish move potentially targeting the next resistance near $118,000 to $119,500.
From a market sentiment and order flow perspective, Bitcoin has shown accumulation in strong support zones between $110,000 and $112,000. Bullish momentum may depend on overcoming this key resistance, as failure to break above $116k–$117k consistently could see BTC revisit support levels near $111,000 or even as low as $110,000.
In conclusion, breaking the $116,000–$116,800 resistance level is critical for Bitcoin to continue its upward trajectory and possibly test new highs around $118,000–$119,500. Failure to breach this level could lead to sideways movement or a pullback to $110,000–$113,000 support zones. Traders should watch volume and momentum indicators closely for confirmation of a breakout or rejection at these levels.
[1] Source: TradingView, Glassnode, CoinMarketCap [2] Source: Twitter, Michaël van de Poppe [3] Source: IntoTheBlock, CoinTelegraph
- In the current market conditions, on-chain data reveals that approximately 91% of Bitcoin in circulation are "In The Money," with a value of $2.08 trillion, indicating that holders may remain in profit and wait for further price movements before selling.
- For Bitcoin to test new highs around $118,000–$119,500, it is crucial to break the $116,000–$116,800 resistance level. Technical indicators suggest a potential spike to $150,000 if a breakout rally occurs, but this doesn't guarantee that Bitcoin will not suffer more dips.
- Cautious investor behavior can be observed in the broader cryptocurrency market, as volume remains in the red zone and the financial market uncertainty may slow the rebound, making it essential for traders to watch volume and momentum indicators closely for confirmation of a breakout or rejection at specific levels.
