Bitcoin may plummet 27%, the market is about to be in turmoil!
Cryptocurrency expert Ali Martinez issued a severe warning: Bitcoin may plummet 27%
Amid the turbulent changes in the cryptocurrency market, Ali Martinez, a well-known cryptocurrency expert, issued a strong warning about the potential of Bitcoin. He revealed to his 104,000 followers that if Bitcoin cannot maintain its key support level, its price may plummet by about 27%.
In-depth analysis of Bitcoin's key support level
Martinez elaborated on his analytical framework in detail, especially emphasizing the importance of the unspent transaction output (UTXO) realized price distribution (URPD) model. The model closely tracks Bitcoin's price dynamics by carefully analyzing coins traded in a specific price range. He warned that if Bitcoin's price falls below the key threshold of $93,806, it may trigger a series of sell-offs, causing its price to fall all the way to $70,085.
Are traders preparing for a bear market?
Recent market trends seem to confirm Martinez's concerns. Data shows that just last week, about 33,000 bitcoins, with a total value of about $3.23 billion, were transferred to exchanges. This move is often seen as a sign that traders are preparing for a possible bear market. In addition, Bitcoin's profits reached a staggering $7.17 billion on December 23.
Trader sentiment turns pessimistic
Martinez further pointed out that on platforms such as Binance, the number of traders betting on Bitcoin's rise has dropped significantly, with long positions shrinking from 66.73% to 53.60%, a drop of 13%. This change clearly reflects that traders' bearish sentiment is heating up.
Reiterate the importance of the $100,000 support level
Faced with this series of unfavorable factors, Martinez once again emphasized the critical importance of Bitcoin maintaining the $100,000 support level. He warned that once this key support level is lost, Bitcoin may usher in a more persistent downward trend. Therefore, in order to ensure the stability of the market, it is particularly urgent to re-establish $100,000 as a solid support level.
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