Bitcoin could rally to $80,500 if key resistance level is breached
Bitcoin (CRYPTO:BTC) may be on the verge of a significant rally, potentially reaching $80,500, according to a popular crypto analyst on the X platform.
However, this bullish scenario hinges on whether Bitcoin can overcome a critical resistance level at $67,300.
The analyst, Ali Martinez, shared his insights based on the MVRV (Market Value to Realized Value) Pricing Bands, a metric that helps estimate price levels where the market is at extreme unrealized profit or loss.
These levels are crucial because they indicate where investor behaviors like profit-taking or risk-taking are most likely to occur.
This tool is particularly useful for identifying cycle tops and bottoms in Bitcoin’s price movements.
Martinez pointed out that the $67,300 mark is a pivotal resistance level for Bitcoin.
If the cryptocurrency can break through this barrier, it could pave the way for a strong upward move, potentially driving the price beyond $80,500.
Such a breakthrough would not only signal robust bullish momentum but could also attract fresh buying interest from both retail and institutional investors.
In addition to identifying this key resistance level, Martinez highlighted another bullish signal: a golden cross between the MVRV ratio and its 365-day simple moving average (SMA).
A golden cross is a well-known bullish indicator in technical analysis, occurring when a short-term moving average crosses above a long-term moving average, suggesting a potential return to bullish territory for Bitcoin.
However, it's important to note that Bitcoin’s price has struggled to maintain upward momentum in recent months.
According to data from CoinGecko, Bitcoin is currently 12.6% below its all-time high of $73,737, which was reached in mid-March.
A successful rally to $80,500 would represent a 25% increase from the current price levels, setting a new all-time high for the cryptocurrency.
The coming weeks will be critical in determining whether Bitcoin can overcome the $67,300 resistance and achieve this ambitious target.
At the time of writing, the Bitcoin price was $64,018.72
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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