Bitcoin price forecast: BTC needs to surpass this level to continue upward trend
In the past day, Bitcoin (BTC) has made efforts to stop its downward spiral that led the original cryptocurrency to lose significant support levels. Despite displaying a temporary bullish trend by reclaiming the $56,000 resistance area, crypto analyst Ali Martinez has highlighted that Bitcoin still faces challenges ahead.
In a post on X (formerly Twitter) on July 5, Martinez emphasized that Bitcoin is at a critical juncture to revive its bullish momentum. He noted that the digital asset needs to surpass the $61,000 mark to trigger a new upward trajectory. Since reaching its all-time high of over $73,000, the $60,000 level has been pivotal in propelling Bitcoin towards a potential new peak, with $100,000 being the target.
Martinez pointed out the current lack of strong support for Bitcoin and underscored the importance of closing above $61,000 for the bullish trend to resume. He highlighted the significance of the $60,000 support level in Bitcoin’s price action.
Analyzing data from IntoTheBlock, Martinez shared insights into investor sentiment regarding Bitcoin. The data indicated that a substantial portion of Bitcoin addresses, approximately 42.86%, hold the asset within the $44,256.50 to $51,841.18 range, totaling 1.41 million BTC. Moreover, around 57.06% of addresses, holding Bitcoin priced between $55,140.18 and $66,973.14, are currently at a loss.
The analysis pointed out that maintaining the $47,000 support level is crucial, as a breach could lead to further downside risks. Bitcoin has been under sustained bearish pressure recently, with analysts attributing this to various factors, including the Mt. Gox customer repayment process, which is seen as a significant bearish trigger.
According to a report by Finbold, Bitcoin is navigating between two critical psychological thresholds: $50,000 and $60,000. The report highlighted the alignment of Bitcoin’s psychological support with the 365-day exponential moving average (365-EMA) at $50,589, representing a significant year-over-year level. Additionally, the 30-day EMA poses resistance at $62,695.
As of the latest update, Bitcoin was trading at $56,695, marking a nearly 3% increase in the past 24 hours. However, on a weekly basis, Bitcoin has experienced a decline of nearly 7%. It is important to note that investment decisions carry inherent risks, and caution should be exercised when engaging in speculative activities.
