The Bitcoin worth not too long ago achieved a monumental milestone, crossing the $100,000 threshold for the primary time in its historical past. Whereas the breakthrough is a big achievement for the BTC worth, it additionally raises the query of where it goes from here.
The consensus amongst many analysts is of a continued bullish worth motion for Bitcoin. Nevertheless, a crypto analyst on TradingView has issued a stark warning, labeling this worth level as a “harmful zone.” Based on their technical outlook, reaching $100,000 might trigger a large correction within the Bitcoin worth as much as the $72,000 worth degree.
Why $100,000 Might Be A Turning Level For The Bitcoin Value
After 4 failed makes an attempt to breach the $100,000 mark, Bitcoin has lastly damaged by the psychological threshold and is now open to uncharted price territory. Though the Bitcoin worth retraced beneath $100,000 within the hours after, many investors remain optimistic, viewing this retracement as a brief setback and believing that Bitcoin’s journey above $100,000 is much from over.
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The optimism, nonetheless, is met with a contrasting perspective from an analysis of the TradingView platform, which presents a extra cautious and bearish outlook. The analyst highlights the $100,000 degree as a “magnet” that has persistently drawn worth exercise over the previous few weeks, serving as a essential zone of attraction and resistance. With this in thoughts, the analyst’s outlook is of bearish worth motion, basically predicting a retest of $94,000. From right here, the analyst expects the incidence of a market construction break (MSB), which in flip would set off a broader correction for the BTC worth.
Curiously, the analyst predicted that breaking below the $94,000 worth degree would result in a retest of $88,000. Ought to Bitcoin break beneath the $88,000 assist, the analyst foresees additional worth declines that will drive the Bitcoin worth towards a really perfect goal zone simply above $72,200.
Bullish Sentiment Outweighs Bearish Sentiment
If the bearish state of affairs outlined by the analyst involves go, it might plunge the crypto market into one other bear market, with different cryptocurrencies mirroring Bitcoin’s downward trajectory and erasing current worth good points.
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Nevertheless, this stays a prediction slightly than an assessment of the current crypto market dynamics. Presently, the crypto market continues to delight in bullish sentiment, as evidenced by the Worry & Greed Index, which is presently at an excessive greed degree of 81. Just a few analysts have steered that Bitcoin’s worth should have room to climb, with some forecasting potential highs near $140,000.
On the time of writing, the Bitcoin worth is buying and selling at $98,350. Curiously, the current break above $100,000 led to a retest of $94,000 prior to now 24 hours. Nevertheless, the Bitcoin worth rebounded from $94,000 as an alternative of breaking beneath. Regardless of this rebound, the main cryptocurrency won’t be out of the woods but.
Featured picture created with Dall.E, chart from Tradingview.com