The Bitcoin worth just lately achieved a monumental milestone, crossing the $100,000 threshold for the primary time in its historical past. Whereas the breakthrough is a major 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 may trigger a large correction within the Bitcoin worth as much as the $72,000 worth stage.
Why $100,000 Could Be A Turning Level For The Bitcoin Worth
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 under $100,000 within the hours after, many investors remain optimistic, viewing this retracement as a short lived setback and believing that Bitcoin’s journey above $100,000 is way from over.
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The optimism, nevertheless, is met with a contrasting perspective from an analysis of the TradingView platform, which affords a extra cautious and bearish outlook. The analyst highlights the $100,000 stage as a “magnet” that has persistently drawn worth exercise over the previous few weeks, serving as a vital 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 prevalence 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 stage would result in a retest of $88,000. Ought to Bitcoin break under the $88,000 assist, the analyst foresees additional worth declines that might drive the Bitcoin worth towards a really perfect goal zone simply above $72,200.
Bullish Sentiment Outweighs Bearish Sentiment
If the bearish situation outlined by the analyst involves cross, it may plunge the crypto market into one other bear market, with different cryptocurrencies mirroring Bitcoin’s downward trajectory and erasing latest worth positive aspects.
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Nevertheless, this stays a prediction moderately than an assessment of the current crypto market dynamics. Presently, the crypto market continues to take pleasure in bullish sentiment, as evidenced by the Worry & Greed Index, which is presently at an excessive greed stage of 81. A couple of analysts have steered that Bitcoin’s worth should still 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 latest break above $100,000 led to a retest of $94,000 previously 24 hours. Nevertheless, the Bitcoin worth rebounded from $94,000 as a substitute of breaking under. Regardless of this rebound, the main cryptocurrency may not be out of the woods but.
Featured picture created with Dall.E, chart from Tradingview.com