Renowned crypto analyst Ali Martinez released a Bitcoin chart predicting a possible local price top at $85,300 based on the MVRV Deviation Pricing Bands.
Current Market Analysis
Currently, Bitcoin is trading at $75,638, positioned between two crucial bands: the +0.5σ level at $71,489 and the +1.0σ level at $85,363. This suggests Bitcoin is increasingly overvalued but not at extreme levels yet.
Key Support and Resistance Levels
Support above $71,489 is crucial for maintaining upward momentum. This level serves as a foundation for any potential push toward the anticipated local top. If Bitcoin holds its current trajectory, the +1.0σ level at $85,363 might present significant resistance.
Potential Price Scenarios
If Bitcoin loses the $71,489 support, it might test lower bands. The mean level (0σ) at $57,615 could act as mid-level support. A drop below this could signal a potential bearish reversal or extended consolidation period.
Short-term Bitcoin price changes depend on maintaining critical support levels and overcoming resistance areas. The current market assessment shows potential turnaround opportunities that traders and investors should consider.
