Bitcoin's Price Outlook: $85K Crucial for Avoiding Correction
Bitcoin Price: A Critical Week Ahead
Uncertainty hangs over both traditional and cryptocurrency markets, with global trade tensions and easing inflation creating a lack of clear direction. Bitcoin's price trajectory next week hinges on this week's closing price, according to leading analysts.
Ryan Lee, chief analyst at Bitget Research, highlights $85,000 as a crucial psychological level. A weekly close above this mark is vital for maintaining upward momentum, he says. Failure to reach this level could trigger a correction down to $76,000.
Lee adds that a close above $87,000 would provide even stronger bullish confirmation. While macroeconomic factors like stable interest rates and cooling inflation generally support risk assets, the Sunday close will be the decisive factor.
Bitcoin's price action has been sluggish recently, showing only a 0.9% increase over the past week. A disappointing close could lead to a retest of last week's low around $76,600.
Long-Term Holders Accumulating Bitcoin
Despite potential short-term downsides, Enmanuel Cardozo, a market analyst at Brickken, emphasizes the significance of long-term Bitcoin holder accumulation. He advises investors to focus on this trend rather than short-term price fluctuations.
Cardozo notes that long-term holders have been steadily accumulating Bitcoin, purchasing over $21 billion worth since early February. This accumulation, evident in on-chain data, suggests underlying strength despite price volatility.
Data from Glassnode shows a significant increase in Bitcoin held by long-term holders—over 250,000 BTC in less than two months, rising from 13.1 million BTC on February 11th to over 13.3 million BTC on March 22nd.
Global Trade Concerns Remain
Nicolai Sondergaard, a research analyst at Nansen, points out that global tariff concerns will likely continue to pressure markets until at least April 2nd, despite positive developments in the regulatory and crypto sectors.
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