Alphractal has issued a warning about Bitcoin's critical $84,000 support level, based on CVDD model analysis.
Current Situation Analysis
Bitcoin is currently sitting at a key support level within the CVDD (Cumulative Value Days Destroyed) model. According to Alphractal, the critical support level is set at CVDD×2.618, which equates to $84,640.
Historical Effectiveness of CVDD Model
Alphractal states that the CVDD model has historically been effective in identifying Bitcoin price bottoms across multiple market cycles. Breaking a key level within this channel typically leads the price towards the next support or resistance zone.
Potential Scenario Outcomes
If Bitcoin consolidates above $84,000, it could form a local bottom before making a fresh move toward all-time highs. However, failure to hold this level for several days could trigger a more significant decline. In the event of a breakout, Alphractal identifies two key support levels: $64,700 and $60,000, which could act as major support zones in a bearish scenario.
The situation in the Bitcoin market remains tense, and the $84,000 level could play a decisive role in the coming weeks. Despite the possibility of a correction, history shows that Bitcoin can recover and reach new heights.
