Cryptocurrency analytics firm Alphractal has highlighted a pivotal moment for Bitcoin (BTC) as it approaches $93,500, a key “concern zone” within the Short-Term Trader (STH) and Long-Term Trader (LTH) Sentiment Price Bands.
The firm’s analysis suggests that this level could be a critical decision point for BTC’s trajectory.
The worry band is a historically significant resistance zone where profits and losses for both short- and long-term investors intersect. Alphractal noted that in previous market cycles such as 2013, 2017, and 2020, Bitcoin broke through this zone, leading to significant price increases.
If Bitcoin breaks this level, it could set its sights on the next resistance zone, known as the Optimism Band, currently at $115,600. Notably, during previous market peaks, Bitcoin has not stayed within this band but has consistently broken through it, indicating its potential as a future resistance point.
Based on past market behavior, Alphractal identified two potential scenarios:
- 2021 Comparison: If Bitcoin mimics its 2021 performance, it could climb to levels above $142,200, shifting investors from “concern” to “excitement.”
- 2017 Momentum: If the price follows the intensity of the 2017 rally, Bitcoin could target levels above $233,800, which would represent a major rally.
Alphractal emphasized that it is important for Bitcoin to break above the $93,522 concern band to continue the upward momentum. Failure to do so could keep BTC locked in a consolidation phase and limit any sudden price increases.
*This is not investment advice.
