Bitcoin’s been inching towards new highs, but it’s hitting some roadblocks. What’s the future of BTC? Let’s dive into some on-chain data to find out.
The $117,000 Hurdle
Analyst Joao Wedson predicted $117,000 as a major resistance level for Bitcoin. He used two key metrics to reach this conclusion:
- Cumulative Value Days Destroyed (CVDD) Channel: This tracks how much older Bitcoin is moving, highlighting potential support and resistance zones.
- Fibonacci-Adjusted Market Mean Price: This shows the average cost basis of all Bitcoin holders, adjusted using Fibonacci ratios to identify potential price extensions or retracements.
Both metrics pointed to $117,000 as a likely area for a price pullback, showing significant market uncertainty.
What Happens Next?
Wedson outlined two possible scenarios:
Upside: A breakout above $118,600 would signal strong bullish momentum and could trigger a significant price surge.
Downside: A break below the $113,700 support could lead to a quick drop, potentially to $110,000 or even $100,000. A drop to $100,000 might attract institutional investors looking to buy the dip.
As of now, Bitcoin is trading around $115,660, relatively stable. The next few days will be crucial in determining which path Bitcoin takes.
