In a recent tweet, renowned blockchain analytics firm Glassnode shared its insights on the current state of the Bitcoin market.
By using their expertise in evaluating common technical pricing models, Glassnode’s analysis revealed that the spot price of BTC is currently slightly higher than the corresponding 111-day moving average (DMA) and the 200-week moving average (WMA). This fortuitous alignment of prices creates a region of support, indicating a potentially favorable outlook.
However, in the event of a sudden and significant downward price movement that breaches these aforementioned models, Glassnode suggests that investors should pay close attention to the interaction between the 365-day DMA and the 200-day DMA.
This particular confluence presents an intriguing area of interest for price action, effectively defining a well-defined range between $26.2K and $22.3K.
To break it down further, the 111 DMA is currently situated at $26.2K, serving as a crucial price level that Bitcoin has managed to maintain. Similarly, the 200 WMA also stands at $26.2K, further strengthening the support in this range.
On the other hand, the 365 DMA is found at $22.3K, delineating a potential lower boundary for Bitcoin’s price action. Lastly, the 200 DMA is slightly higher at $22.6K, providing another reference point within the defined range.
However, Glassnode’s assessment of the Bitcoin market, using these technical pricing models, provides valuable insights for traders and investors alike.
Ali’s Concerns: Bitcoin Losing Major Areas of Support
Meanwhile, prominent analyst Ali expressed concern over the Bitcoin market, as indicated in their tweet. According to Ali, the leading cryptocurrency appears to be losing its grip on crucial support levels.
This alarming development significantly raises the likelihood of a corrective phase, potentially leading to a decline in the Bitcoin price.
Ali highlighted a key demand wall that lies ahead for Bitcoin, ranging between $23,200 and $24k. Notably, this price range holds great significance, considering that a staggering 850,000 addresses previously purchased a total of 340,000 BTC within this zone.
The conflicting viewpoints between Glassnode and Ali underscore the uncertainty prevailing in the Bitcoin market. While Glassnode suggests a region of support and potential price range based on technical models, Ali’s analysis paints a bearish picture, predicting a corrective phase and pointing out significant demand levels.
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