Over the past seven days, cryptocurrency investors have seen everything they love and hate: a historic liquidation has pushed prices back to unprecedented levels, while some projects have emerged stronger than when they started.
Bitcoin lost almost 5% of its value and approached – twice – the psychological limit of one hundred thousand dollars. However, according to the analyses, Bitcoin is currently particularly ‘cheap’ and has growth potential. Let’s take a look at what those who would buy from the leading cryptocurrency now can expect.
Important articles from a technical point of view
At the time of writing our article, bitcoin
BTC price
(BTC) is trading at the $107,000 level after dropping significantly following Sunday’s breakout. According to Pentoshi, this is now a range that could be crucial for the final quarter, because if BTC can hold it, it could even immediately recover to the $115-$116,000 level, which is essential for the bull market to continue.
Otherwise, the exchange rate could fall to $95,000, a depth not seen since May: this would not only break an important psychological resistance, but also raise the question of whether there is more upside for bitcoin.
“Bitcoin can be expensive or cheap for the same price depending on whether you test the level above or below”
– emphasizes Pentoshi, referring to the fact that in today’s market environment, traders are not driven by fixed truths, but by dynamic behavior
According to the chart, buyer activity has returned after the recent strong selling wave, which is also confirmed by technical indicators: if the desired levels are reached, BTC could reach the $135,000 level even this year.
Strong signals in the chain and market-shaping
For example, on the fundamental side, during the sudden crashes of recent weeks, net taker volume on Binance increased to around $309 million, causing indicative spot buying pressure in the market, while the level of open derivatives positions remained low. This shows that instead of speculative, predominantly short-term transactions, credible, long-term committed buyers now dominate.
“Such spot accumulation often portends a local low and a reversal of the uptrend,” writes analyst Amr Taha
Based on the market parallels, as stock markets and gold continue to reach historic highs, crypto is driven by unique dynamics due to limited liquidity and rapid cycles. In the case of gold now its capitalization has reached $30 trillionAccording to many, the subsequent correction wave could free up capital, some of which could flow into the Bitcoin market
Trend-forming movements in the last quarter
While gold is classically a crisis-proof safe haven, bitcoin now functions as a dedicated digital alternative for which capital begins to flow below a certain exchange rate level. After last week’s sell-off, the decline was followed by intensive accumulation, which usually reliably predicts a short-term price recovery.
Compared to traditional markets, the leading cryptocurrency is more volatile, but this is precisely why it offers the boarding capabilities that active, informed traders can take advantage of. By closely monitoring key levels and network buying activity, new highs may even follow in the short term, especially if sentiment in global stock markets or the gold market also changes.
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