Bitcoin Dipped below 100-hour MA, Triggering Further Downswing, Analyst Suggests

The crypto community has been waiting with bated breath for Bitcoin (BTC) to make the next move based on the consolidation around the $20,000 zone.ย 

Market analyst Ali Martinez believes that a significant support zone between $19.1 and $19.7K or a notable resistance level at $20.9K has to give in for Bitocin to happen. Martinez explained:

โ€œBitcoin sits on an important demand wall between $19,150 and $19,700 where 575,000 addresses hold more than 375,000 BTC. If this support level holds, notice that BTC faces stiff resistance at $20,900. One of these levels must give in to trigger a major price movement.โ€

The leading cryptocurrency was hovering around the $19,870 area during intraday trading, according to CoinMarketCap.ย 

Given that BTC dropped below the 100-hour MA, Martinez opined that a downswing might have been prompted and said:

โ€œBitcoin dipped below the 100-hour MA, triggering a downswing to $19,900. If this level fails to hold BTC, the losses can extend toward $19,300 or even $18,630.โ€


Source: AliMartinez

Crypto analyst Michael van de Poppe echoed similar sentiments, suggesting that Bitcoin should hold $19,500 to avoid cascading further down.

A recent comprehensive report by Glassnode pointed out that Bitcoin was not out of the woods yet because it required more time to form a resilient bottom, given that the share of coins held at a loss had to be primarily transferred to long-term holders (LTHs).

The market insight provider explained:

โ€œThis indicates that while many bottom formation signals are in place, the market still requires an element of duration and time pain to establish a resilient bottom.โ€

Meanwhile, the Bitcoin Lightning Network continues scaling heights after hitting a new all-time high (ATH) of more than 4,200 BTC.ย 

The growth witnessed on the Lightning Network is happening amid Bitcoinโ€™s price being on shaky grounds, suggesting that the development for adoption is taking shape even if the price falls.ย 

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