Market expert establishes new Bitcoin target after dismissing 71000
Cryptocurrency trading specialist Michaël van de Poppe has a strong belief that Bitcoin (BTC) is on the verge of undergoing additional correction as it failed to break through the $71,000 resistance level.
In a recent post on June 11, Poppe highlighted various crucial price levels and areas of interest for investors to keep an eye on. He mentioned that Bitcoin is likely to test the support range between $64,000 and $65,000.
According to Poppe’s analysis, this particular range holds significant importance as it could serve as a solid base for Bitcoin’s price to stabilize before making another attempt at moving upwards. If the price were to drop below this immediate support, Poppe points out a substantial demand zone ranging from $54,000 to $56,000.
Poppe identifies this area as a critical level where buyers are expected to intervene, offering substantial support to prevent further declines. To make progress, Bitcoin must surpass multiple resistance levels, with the main obstacle currently standing at $71,000.
Overcoming this hurdle could potentially set the stage for Bitcoin to revisit its previous highs and potentially aim for new record levels. The upcoming Federal Open Market Committee (FOMC) meeting and the release of Consumer Price Index (CPI) data are events that Poppe believes could have a significant impact on Bitcoin’s price movement.
He anticipates that these events could lead to increased volatility in the market, potentially driving the next major price action. The chart indicates a consistent volume pattern, suggesting steady trading activity. However, a surge in volume will be necessary to support a sustained upward movement.
On a different note, crypto analyst Ali Martinez has pointed out that Bitcoin is currently trading within a well-defined parallel channel. Martinez suggests that in such a pattern, it is advisable to buy Bitcoin at the lower boundary and sell at the mid or upper boundary.
In this scenario, the lower boundary for Bitcoin is around $67,000, representing a strong support level with highlighted buying opportunities. The mid boundary hovers around $69,000, serving as an intermediate point for partial profit-taking. The upper boundary is situated close to $71,000, identified as the resistance level where selling or taking profits is recommended.
It’s important to note that Bitcoin recently attempted to break out of a consolidation phase that has characterized the asset in recent days. The drop followed $64.9 million in outflows from U.S. spot Bitcoin exchange-traded funds, marking the first loss since at least May 23.
As of press time, Bitcoin is trading at $67,210, having experienced a decline of over 3% in the last 24 hours. On the weekly chart, Bitcoin is down by 2.5%. With bears seemingly gaining control of Bitcoin in the past 24 hours, the focus is on Bitcoin maintaining its price above $65,000 to avoid further losses.
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