This past week, the Bitcoin price posted one of its best performances since early 2024, rising above $50,000 for the first time since 2021. Although the major cryptocurrency has moved largely sideways in recent days, it continues to hold its ground. his own above the $51,000 mark.
However, a popular crypto analyst on the X platform has put forward an interesting forecast for the Bitcoin price, stating that the coin could experience some bearish pressure in the near future.
Will BTC go to $46,000?
On Thursday, February 15, prominent crypto analyst Ali Martinez said sounded the sales alarm – based on the Tom Demark Sequential indicator – for Bitcoin. According to the analyst, investors should anticipate a correction of one in four candlesticks on BTC’s daily chart in the coming days.
Ali Martinez took to the X platform on Saturday, February 17, to share an in-depth analysis of an impending correction for the Bitcoin price. This evaluation is based on the distribution of holders’ cost basis across the different BTC price zones near the cryptocurrency’s current price.
With this on-chain indicator, the strength of each resistance or support level depends on the number of coins acquired by investors within the price range. And this power is represented by how large or small the circles (representing the price ranges) are.
Over 1 million addresses bought 544,870 BTC within the $48,000 and $46,500 range | Source: Ali_charts/X
As shown in the chart above, Bitcoin’s price appears to be encountering significant resistance between $51,099 and $52,582. Martinez recognized this pattern in his after that if the flagship cryptocurrency fails to regain the $52,000 level, it is at risk of an 8% price correction.
An 8% decline from the current point would see the Bitcoin price fall to between $48,000 and $46,500. According to the on-chain resistance data, over 1 million addresses purchased 544,870 BTC within this range, making this a significant support level.
Bitcoin price overview
At the time of writing, the Bitcoin price is around $51,650, reflecting a decline of almost 0.9% in the past 24 hours. Despite recent bearish pressure slowing momentum, the market leader has retained most of its gains from the past week.
According to data from CoinGecko, Bitcoin’s value has increased by more than 8% in the past seven days. Meanwhile, the cryptocurrency has registered over 20% growth in the month of February so far.
The recent price surge pushed BTC past the $1 trillion mark in terms of market capitalization, cementing its position as the largest asset in the cryptocurrency sector.
Bitcoin at $51,564 on the daily timeframe | Source: BTCUSDT chart on TradingView
Featured image from iStock, chart from TradingView
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