The world’s largest cryptocurrency Bitcoin continues to trade under pressure as the BTC price repeatedly failed to break past the resistance levels of $64,000. As of press time, BTC is trading at $60,990 with a market cap of $1.2 trillion.

Bitcoin Price Eyes A Drop Under $52,000

In a recent analysis, crypto analyst Ali Martinez has outlined two distinct scenarios for Bitcoin’s (BTC) price trajectory.

Martinez suggests that if BTC manages to reclaim $64,290 as a support level, it could pave the way for a bullish movement towards $76,610. However, failure to surpass this crucial threshold may result in BTC revisiting support at $51,970.

This analysis underscores the significance of $64,290 as a pivotal level for Bitcoin’s short-term price action. This is one of the largest consolidation phases for Bitcoin in its history. Thus, one can expect some volatility in the coming weeks.

Courtesy: Ali Martinez

Another crypto market analyst Michael van de Poppe shared similar views. He said that Bitcoin stands at a pivotal level, with its fate hinging on specific price points. Failure to sustain above $60,000 could lead to a final downward movement towards the $52,000 to $55,000 range. However, a breakthrough above $63,000 could signal a resurgence, potentially propelling BTC toward $70,000 to $72,000.

On-chain Activity at Historic Low

Recent insights from Santiment data indicate a notable decline in Bitcoin’s on-chain activity, with transactions nearing historic lows. Analysis shows that traders have significantly reduced their transactional activity over the past two months following Bitcoin’s all-time high.

This decrease in on-chain activity, however, may not necessarily indicate an impending downturn in Bitcoin’s price. Rather, it serves as a signal of heightened fear and indecision among market participants, reported Santiment.

Courtesy: Santiment

On the other hand, the long-term holders of Bitcoin have been holding their coins firmly. The Long-Term Holder Spending Binary Indicator has revealed a significant shift in behavior among Long-Term Holders (LTH) of Bitcoin. Data indicates that LTHs sold approximately 1.3 million BTC when the price of Bitcoin surged above $73,000. However, current trends suggest that LTHs have ceased selling their BTC holdings.

The post Bitcoin (BTC) Price Drop to $51,970 Coming If It Fails To Reclaim This Level appeared first on CoinGape.

---

Filed under: News - @ January 1, 1970 12:00 am