Bitcoin’s price has lost its momentum and has retraced by several grand in the past day or so, but it’s still above a key support level.
Ali Martinez, the popular crypto analyst with almost 120,000 followers on X, noted that the bull run is still intact as long as the cryptocurrency remains above $98,000.
The primary cryptocurrency experienced massive volatility at the start of the week, as it plunged by over $6,000 on Monday morning to under $100,000 before it exploded out of the gate to a new all-time high above $109,000.
This all transpired ahead of Donald Trump’s inauguration, and when that arrived, BTC slumped, as he had failed to mention the industry even once. Nevertheless, the $100,000 support held and bitcoin bounced off toward $107,000.
However, the bears stopped the asset’s ascent at that point and pushed it south by a few grand in the past day. Just a few hours ago, the cryptocurrency tested $104,000 but has remained above it.
Despite this $3,000 price drop in a day, BTC’s bull run will continue as long as it remains above $98,000, said Martinez. He outlined that level as particularly important for the asset due to the massive accumulation point it has become.
More than 101,000 BTC (valued at $10.5B at today’s prices) were purchased at around that line, which turned it into a ‘crucial’ support. Typically, investors, especially those who have arrived at the scene more recently, tend to dispose of their holdings if they see the price tumble below their entry level.
The key support level for #Bitcoin is at $97,877, where more than 101,000 $BTC were accumulated. Holding above this level is crucial to sustaining the bullish momentum. pic.twitter.com/4kMR5ZtkWa
— Ali (@ali_charts) January 25, 2025
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