Bitcoin analysts are intently monitoring the cryptocurrency’s price trajectory as it approaches a crucial weekly close. According to experts, a close above $85,000 is essential for Bitcoin to maintain its upward momentum and avoid a potentially significant correction to $76,000. The mixed environment of global trade war fears combined with easing inflation has left both traditional and crypto markets lacking direction.
Ryan Lee, chief analyst at Bitget Research, emphasized the importance of this weekly close. He stated, “A close above $85,000 would signal strength and might prevent a drop back to $76,000. Moreover, crossing the $87,000 threshold would provide an even clearer indication of bullish sentiment.” The analysis suggests that investors should closely watch macroeconomic factors such as steady interest rates and cooling inflation as they could provide supportive conditions for risk assets.
As per recent data from Cointelegraph Markets Pro, Bitcoin’s price has been sluggish, showing only a 0.9% rise over the past week. This lack of momentum highlights the worries surrounding a disappointing close that could lead back to the previous week’s sad state, which saw prices dip to $76,600.
In contrast, Enmanuel Cardozo, a market analyst at Brickken, pointed to a positive trend amidst potential short-term downturns. He noted that investors should focus on long-term holder accumulation, which has resumed significantly since early February. According to him, “The accumulation by long-term holders has been substantial, and this is a trend we should prioritize over short-term fluctuations.”
Recent on-chain data supports Cardozo’s assertion, showing that long-term holders have added over $21 billion worth of Bitcoin to their portfolios in just two months. In fact, the total supply held by these investors increased by over 250,000 BTC, from 13.1 million BTC in mid-February to over 13.3 million BTC by late March.
Despite a surge of positive regulatory news and other developments within the crypto industry, global tariff concerns are likely to impact market sentiment until early April. Analysts like Nicolai Sondergaard from Nansen highlight that continued vigilance is necessary as these pressures could weigh heavily on Bitcoin’s price movement.
With the market showing signs of indecision, the upcoming week’s close will be crucial in determining Bitcoin’s future price direction. Investors are encouraged to keep an eye on both short-term price levels as well as the longer-term accumulation strategies of Bitcoin holders. Ultimately, the ability of Bitcoin to close above that significant $85,000 mark could pave the way for a more prolonged recovery phase in the volatile cryptocurrency market.
