Recently, the Bitcoin price has been showing significant strength, breaking above the $50,000 mark for the first time since 2021. However, a prominent analyst has raised concerns about a potential bearish trend in the near future. Ali Martinez, a well-known crypto analyst, has warned investors of a possible correction based on the Tom Demark Sequential indicator. According to Martinez, there might be a one-to-four candlesticks correction on BTC’s daily chart in the coming days.
Martinez further delved into the analysis of holders’ cost basis across different BTC price zones near the current price. The strength of any resistance or support level depends on the number of coins acquired by investors within that price range. By examining this data, Martinez identified a significant resistance level between $51,099 and $52,582. If Bitcoin fails to reclaim the $52,000 level, it could potentially face an 8% price correction.
Despite the recent bearish pressure slowing down its momentum, Bitcoin has managed to maintain most of its profits from the past week. The cryptocurrency has seen an 8% increase in value over the last seven days and has recorded over 20% growth in February. This surge in price allowed Bitcoin to surpass the $1 trillion mark in terms of market capitalization, solidifying its position as the largest asset in the cryptocurrency sector.
It is important to note that the information provided in this article is for educational purposes only and does not reflect the opinions of NewsBTC on investment decisions. Investing in cryptocurrencies carries inherent risks and individuals are encouraged to conduct their own research before making any investment choices. The use of information from this website is done entirely at one’s own risk.
Despite the recent bullish performance of the Bitcoin price, investors should be cautious of the potential bearish pressure that may lie ahead. Ali Martinez’s analysis provides valuable insights into the market trends and signals a possible correction in the near future. With the market constantly evolving, it is crucial for investors to stay informed and make well-informed decisions to navigate the volatile cryptocurrency landscape.
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