A popular crypto analyst is warning that Bitcoin (BTC) could take a significant dive. Ali Martinez, who boasts over 100,000 followers on X (formerly Twitter), says a key support level could trigger a major price drop.
Bitcoin’s Potential Plunge
Martinez uses a model called Unspent Transaction Output (UTXO) Realized Price Distribution (URPD) to identify key support levels for Bitcoin. He’s pinpointed a crucial support zone between $97,041 and $93,806. If BTC breaks below this range, he predicts a sharp drop to around $70,085, as there’s little support at lower prices.
Cost Basis Concerns
He also points to the cost basis distribution, showing how much Bitcoin was bought at various prices. This indicates that many who bought BTC in the high $90,000s are holding onto their investments for now. However, Martinez warns that if the $97,000-$99,000 support level breaks, it could trigger a wave of selling, confirming the breakdown.
Current Market Conditions
At the time of writing, Bitcoin is trading around $93,235, down about 2% in the last 24 hours.
Cardano’s Potential Surge
Martinez also offered a prediction on Cardano (ADA), suggesting it might mirror a pattern from 2020 and potentially surge over 597% from its current price. He notes a similarity between the current correction and one from 2020, leading him to predict a price of $6 per ADA. Currently, ADA is trading at around $0.86, down 2.4% in the last 24 hours.
Disclaimer: This information is for general knowledge and shouldn’t be considered investment advice. Always do your own research before investing in cryptocurrencies.
