- Bitcoin faces a critical juncture that could see it fall to $76,610 or fall to $51,970.
- Market data and analyst insights suggested increasing selling pressure and a bearish near-term outlook.
Bitcoin’s [BTC] Currently trading at $61,394 at the time of writing, the market position is at a critical juncture. The cryptocurrency has seen a slight rise of more than 1% in the past 24 hours after falling to $60,000.
Despite this slight recovery, Bitcoin is down 9% over the past month and 4.3% over the past week.
These moves have garnered significant attention from analysts and traders alike, who are keenly watching Bitcoin’s ability to maintain its current levels.
Crypto analyst Ali Martinez recently offered Detailed analysis of Bitcoin’s potential price trajectory.
According to Martinez, if Bitcoin can reclaim the $64,290 support level, it could pave the way for a bullish rally towards $76,610.
However, if this important support level fails to hold, the cryptocurrency’s price could fall to $51,970.
This places the $64,290 mark as a pivotal point in determining Bitcoin’s near-term direction.
Source: Ali Charts/X
Signs of bearish pressure?
Recent data Santiment highlighted that Bitcoin’s on-chain activity has significantly decreased, with transaction levels approaching historic lows.
This decrease in activity suggests that traders are significantly reducing their trading engagement, a trend especially observed after Bitcoin’s all-time high.
Source: Santiment
While the decline in on-chain activity may not directly predict an economic downturn, Santiment interprets it as a sign of growing “fear and indecision” among market participants. are doing.
Digging into the technical aspects, Bitcoin appears to be very bullish on the weekly time frame.
However, a closer look at the daily time frame reveals a different picture in which the cryptocurrency is showing a bearish substructure.
There have been three major breaks in the structure to the downside in this time frame, indicating near-term bearish pressure.
The 4-hour time frame further supports this view, as the current bullish candlestick could be a temporary move to extract liquidity at higher levels before continuing its downward trajectory.
Source: TradingView
Further challenges for Bitcoin
Analysis of recent market data also reveals selling pressure surrounding Bitcoin.
according to Latest report from AMBCryptociting data from CryptoQuant, shows that Bitcoin net deposits on exchanges have increased significantly compared to the seven-day average.
Furthermore, both the Coinbase Premium Index and the Korea Premium Index are in the red, indicating a prevailing selling mood among US and Korean investors.
Bitcoin whale behavior further complicates the chances of a price recovery.
read bitcoin [BTC] Price prediction for 2024-2025
In particular, Glassnode data reveals a sharp decline in the number of addresses holding balances of more than $100,000 over the past seven days.
This trend suggests that major players in the market are selling off their Bitcoin holdings, making it increasingly difficult for the cryptocurrency to reach the $64,000 level in the near term.
Source: Glassnode
