With Bitcoin (BTC) making new all-time highs (ATH), the focus is back on key price levels that can give investors an idea about the next possible resistance levels that could trigger a BTC sell-off. New on-chain data provides a map of BTC’s key price levels.
Bitcoin may encounter resistance at these levels
According to a CryptoQuant Quicktake post by contributor Crazzyblockk, the cost basis (realized price) of BTC Short-Term Holders (STH) provides a snapshot of key support and resistance zones.
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In particular, the STH Realized Price highlights the total price at which recent market participants acquired their BTC. This information can give analysts an idea of potential price levels that could influence investors’ behavior to take profits or maintain their positions.
Crazzyblockk highlighted multiple price levels that could act as potential profit zones. For example, the price realized by holders of <1 month, +1 standard deviation, hovers at $143,170.
To explain this, $143,170 is the price level at which recent buyers (who have held BTC for less than a month) would average about one standard deviation above their cost – a zone that could trigger selling and serve as short-term resistance.
Similarly, the price realized by holders <1 month, with a standard deviation of 0.5, is currently around $133,239. Meanwhile, the price realized by the STH, +1 standard deviation, is currently at $131,310.
The analyst added that the current BTC spot price is trading slightly above the “critical midpoint” level, which could determine the market’s next short-term move.
Additionally, the CryptoQuant contributor noted several key support zones that could function as potential reaccumulation zones for BTC investors. These levels include $117,763, $111,963 and $103,239.
Fellow crypto analyst Titan of Crypto noted that while BTC is a new AT above $125,000, it should now break above the rising channel and aim for a $130,000 target. Failure to break it could lead to price correction for the cryptocurrency.
Potential BTC targets?
While some analysts fear that BTC has almost reached the peak of this market cycle, others are relatively more optimistic. For example, seasoned crypto analyst Ali Martinez predicts that BTC can reach $140,000 based on price ranges.
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Similarly, crypto analyst Alex Adler Jr. said. predicted that BTC could reach $160,000 if two key conditions are met. Furthermore, exhausting BTC reserves on crypto exchanges could hasten the digital asset’s upward price trajectory.
Finally, if Bitcoin follows the trajectory of the 2021 market cycle, it could goal minimum $136,000, with an extended goal of $147,000. At the time of writing, BTC is trading at $122,113, down 2.2% in the last 24 hours.
Featured image from Unsplash, charts from CryptoQuant and TradingView.com