Bitcoin’s been stuck in a rut lately. After a sudden drop from $90,000 to around $77,000 a month ago, it’s been struggling to break free from the $82,000 – $87,000 range. Currently, it’s hovering around $83,000 – not much change in the last day or week.
Could Bitcoin Hit $95,000?
But don’t count Bitcoin out just yet! Crypto analyst Ali Martinez thinks a 15% jump to nearly $95,000 is on the cards. His prediction is based on a “symmetrical triangle” pattern on the Bitcoin price chart. Basically, this pattern suggests a breakout is likely, sending the price upwards.
A Major Hurdle at $87,000
However, there’s a potential roadblock. Martinez points to a “confluence zone” around $87,000. This is where several technical indicators – the 50-day and 200-day moving averages, and a descending trendline – all meet. Breaking through this zone would be a strong bullish signal, but failure could mean more sideways trading.
The 50-day moving average shows short-to-mid-term trends, while the 200-day moving average indicates long-term trends. Bitcoin’s been making lower highs since its all-time high, forming that descending trendline.
What to Watch For
Bitcoin’s recent resilience against economic uncertainty is encouraging for bulls. But that $87,000 level is crucial. It’s acted as resistance before, and the convergence of those technical indicators makes a price rejection there quite possible. Investors should definitely keep a close eye on this level.
