Bitcoin took a tumble recently, dropping below $115,000. But is this the end of the road, or just a temporary setback? Let’s dive in.
Holding the Line: Key Support Levels
The current price action hinges on support levels – basically, how much buying power is countering the selling pressure. If buyers can hold the line, Bitcoin could be poised for another climb. However, a failure to do so could signal further trouble.
Why $100,000 is Crucial
Analyst MasterAnanda points out that Bitcoin’s recent drop, while significant, is only about an 8% retracement from its all-time high of $123,000 (hit on July 14th). They consider this a normal market correction, necessary for continued growth.
Strong support exists above $110,000, indicating buyers are still active. But the real
key is $100,000. This level has held psychological significance since December 2024, acting as a crucial support point for upward trends.
MasterAnanda believes that as long as Bitcoin stays above $100,000, the bulls (buyers) remain in control. They predict that after a period of weeks or months, Bitcoin will resume its upward trajectory. Corrections are expected, but these are viewed as short-term dips within a longer-term growth trend.
What if it Breaks?
However, if Bitcoin falls below $100,000, that would invalidate the bullish outlook. In that scenario, MasterAnanda says the short- and mid-term analysis would need a complete reassessment.
