The Bitcoin (BTC) price has showcased three crucial price marks that account for significant support zones in the past 14 months.
According to data from renowned market analyst Ali Martinez, the $16,500, $26,770, and $42,550 price levels have proven to be crucial support zones to watch out for.
Bitcoin’s price is notably erratic, with the volatility sending the price to a high of $48,969.37 from a low of $19,628.25 over the past 1 year.
The price and market capitalization at the time of writing are up 2.72% in 24 hours to $43,391.51 and $851,005,314,010, while the trading volume is up by 51.86% to $22,674,985,226, per data from CoinMarketCap.
Amidst the price action, BTC has its safety price levels that can make or mar any price trends in the short term.
The Bitcoin Magic Support Zones
According to Martinez, the $16,500 served as a crucial support level for the coin in November 2022. This coincided with the period when Sam Bankman-Fried’s FTX Exchange collapsed, adding to the negative sentiment in the market.
Over 516,000 #BTC have been transacted within key price ranges: $16,500, $26,770, and $42,550.
– The $16,500 level was a crucial support in November 2022.
– Meanwhile, $26,770 sustained #Bitcoin's price during the summer of 2023.
– Now, $42,550 may emerge as the most critical… pic.twitter.com/kjwxjUhmu4— Ali (@ali_charts) January 29, 2024
Bitcoin also found an anchor at $26,770 which it turned to its support during the summer of 2023. Though the market had been showing signs of recovery from the crypto winter at the time, the series of lawsuits on trading platforms by the US SEC dampened sentiments.
The $42,550 is acting as the current support level, seeing as the coin has flipped this level in different ways over the past month.
According to Martinez, a combined 516,000 BTC have been accumulated from these zones, underscoring how crucial they are in the Bitcoin ecosystem overall.
A Good Take for BTC Price
The trends observation shows that the Bitcoin price hardly always goes back to its previous support zone. This implies that in the next few months, Bitcoin might have outpaced its current level in a historic retest of reality.
The presence of spot Bitcoin ETFs and the forthcoming halving event both complement the historical trends that might play out in the asset in the coming days.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
