As a critical trendline looms, bitcoin analysts are keeping an eye on these BTC price levels.
As a critical trendline looms, bitcoin analysts are keeping an eye on these BTC price levels.
According to the consensus, $22,400 signals the start of probable bottom territory, but downside targets theoretically stretch to $11,000.
On June 13, Bitcoin (BTC) hit a new low, the lowest since mid-December 2020, although the bottom may be anywhere.
BTC/USD has now broken below its realised price for the first time since March 2020, according to data from Cointelegraph Markets Pro and TradingView, as the weekend sell-off escalates.
Bitcoin maintains its current value.
The realised price – the average price at which each BTC last moved — is acting as the first firm support on lower timeframes, hovering around $23,400.
Previous levels, including those marked as potential bottoms, have failed to hold, and sentiment remains skewed toward more sell-side pressure as a result of the Celsius fallout, inflation, and the US Federal Reserve's upcoming moves.
Meanwhile, where BTC/USD could put in a final macro floor is a hotly debated question.
Traders and analysts agree that the 200-week simple moving average (200 SMA) is the first port of call for a major downturn. The 200 SMA, which is currently at $22,370, has been a critical support level for Bitcoin throughout its history, with just brief wicks below it indicating generational spot price bottoms. The 200 SMA has never broken its own uptrend, and bulls are hoping that reaching it will provide some relief.
In a special video update on the day, Josh Rager claimed, "People are seeking to buy there, it's going to rebound more than likely at that area."
While calling the 200 SMA bounce as a "self-fulfilling prophesy" due to the volume of interest in it, he cautioned that BTC/USD would almost certainly not continue south this time.
This is based on historical data, which shows Bitcoin bottoming out at up to 84 percent below its most recent all-time high. With a price of $69,000, such a low would be just $11,000. So would be harmful; I don't believe the price drops that low; after all, you're looking at a full retracement of the entire bull market, which we've never seen before.
Instead, the 2017 all-time high at $20,000, as well as the area immediately below it, stretching to $17,000, are of importance. $14,000 is also worth watching, since it represents an 80% retracement from the current all-time highs, he added.
The Fed has turned into a last-chance saloon for bulls.
Meanwhile, BTC/USD had managed to avoid a new drop in line with U.S. stock markets at the time of writing.
The SandP 500, on the other hand, fell 3% in the first hour of trading, while the Nasdaq Composite Index fell 3.5 percent. Some argue that the only way to stop crypto's slide is for the Fed to intervene, reversing monetary tightening as rising interest rates stifle growth.
Long-term Bitcoin market participants, on the other hand, had few illusions. If BTC/USD falls below $20,000, it will be the first time an all-time high from a prior halving cycle is breached. Without a Fed pivot, CoinGabbar expect this to be the first cycle Bitcoin falls below the prior cycle's all-time high.
