The Bitcoin market is experiencing a resurgence, with its price once again nearing the highly anticipated $100,000 mark. This comes after a period of significant declines, making the current trend a focal point for investors and analysts alike. A notable crypto analyst has highlighted the critical resistance level of $99,800 as a key factor that could influence Bitcoin’s next major move. Successfully surpassing this threshold may lead to a substantial breakout, potentially elevating Bitcoin to record-breaking heights.
Related Reading
Understanding the Resistance Level at $99,800 for Bitcoin
Prominent cryptocurrency analyst Ali Martinez has provided a detailed analysis using the In/Out of the Money Around Price (IOMAP) model. This analysis examines the distribution of Bitcoin holdings based on their acquisition price. According to Martinez, Bitcoin is currently encountering formidable resistance in the price range between $97,500 and $99,800 as it attempts to breach the $100,000 milestone once more.
Martinez’s data indicates that approximately 923,890 wallet addresses acquired over 1.19 million BTC within this price band. This range is pivotal as many Bitcoin holders may decide to sell off their holdings to break even, thereby introducing potential selling pressure.
The IOMAP chart, as shared by Martinez, uses green dots to indicate ‘In the Money’ scenarios where the purchase price of Bitcoin was lower than its current value, resulting in profit for holders. Conversely, red dots signify ‘Out of the Money’ situations, where the purchase price was higher than Bitcoin’s current market value, leading to a loss for holders.
Currently, BTC is trading at $97,429 on the daily chart, as seen on TradingView.com. The ‘At the Money’ scenario is depicted by a white dot, representing the average current Bitcoin price of $98,676, where no significant profit or loss is observed for some wallets.
A glance below Bitcoin’s current price reveals strong buying zones, which could serve as robust support levels if Bitcoin undergoes a pullback. Martinez predicts that overcoming the critical resistance band between $97,500 and $99,800 could ignite a bullish rally, potentially driving Bitcoin to a new all-time high.
As of now, Bitcoin is trading at $98,652, showing a steady climb as it aims to reclaim its previous highs above $100,000. To achieve a new all-time high, Bitcoin would need to increase by over 7%, surpassing its current peak of over $104,000.
Related Reading
Anticipating Bitcoin’s Post-Christmas Surge
The well-regarded crypto analyst known as ‘Crypto Rover’ has expressed a positive outlook for Bitcoin’s potential price movement in the fourth quarter. Historically, Bitcoin has realized its most significant gains immediately following Christmas, particularly during halving years.
The analyst shared a comprehensive price chart illustrating Bitcoin’s market trajectory during each halving cycle. Notably, in the 2012 halving year, Bitcoin embarked on a significant price rally that continued into the subsequent year. This bullish momentum was also evident in the halving years of 2016 and 2020, with Bitcoin reaching exponential price peaks.
Based on these historical patterns, Crypto Rover forecasts that Bitcoin could experience a similar bullish trend before the close of 2024, with the upward momentum potentially extending into 2025.
With these insights and analyses, investors and enthusiasts alike are closely monitoring Bitcoin’s price movements, eagerly anticipating the possibility of new record highs.
