CryptoQuant's analyst explained the next move of Bitcoin, which saw $62,000.
According to data provided by analysts at on-chain analysis platform CryptoQuant, the average purchase price of short-term investors who hold Bitcoin for 1-3 months stood out as a critical support and resistance level.
This price range currently corresponds to the $61-62 thousand level, and it is critical for Bitcoin to break this price.
Breaking this level or acting as support in the past has led to significant price increases for Bitcoin.
It was observed that price movements tended to decline, especially during periods when the average purchase price of this investor group turned into resistance and Bitcoin could not exceed this level.
Bitcoin tries to break resistance
As one of the latest examples, it was emphasized that when Bitcoin reached the $73,000 level, it entered a downtrend because it could not break the average purchase price of 1-3 month short-term investors.
After the 50 basis point interest rate cut recently announced by the US Federal Reserve (Fed), Bitcoin is trying to surpass this critical level again.
Analysts said that the average bid price of short-term investors in this 1-3 month range is an important on-chain indicator to watch and that Bitcoin’s future price direction may depend on this level.
Stay tuned for new information.
