The Bitcoin value increased 1 percent to $83,165 as traders keep their view on potential market shifts. Technical analysts state that one specific price point will show if Bitcoin will keep moving up or plunge downward.

Renowned cryptocurrency expert Ali Martinez studies BTC price behavior to predict a market slide if BTC cannot defend its current price floor. Bitcoin has shown a clear price response in history as it dropped below its 50-week Moving Average yet led to significant market falls.

Bitcoin’s Key Support Level at Risk

Martinez referred to past examples to show that Bitcoin tested its 200-week MA after declining from its 50-week MA in 2014 and 2018 before the COVID crash. During 2022 Bitcoin declined below its 200-week MA and kept going down further.

The 50-week MA of Bitcoin lives at $75,500 and requires attention as a significant protective barrier. According to technical data Bitcoin may decline to $46,000 once it breaks through this important support level.

Bitcoin Surges 1% Amid Volatility; Analysts Warn of Possible Drop to $46K image 0

The market is very alert to how well BTC performs at these support levels as it impacts trader sentiment. A downward trend would emerge when Bitcoin starts falling below $75,500 and traders become more negative.

Bitcoin Faces Strong Resistance at $95,000

According to Martinez there is an important resistance point at $95,000. Bitcoin faces a substantial supply obstacle because 1.2 million investors protect 726,000 BTC when it reaches this price level or higher. When Bitcoin demonstrates strong buying power it must surpass $95,000 to achieve additional growth. Getting past this resistance zone will be very hard without better purchasing interest.

During the day BTC price rose to $84,358.58 before reaching its lowest mark at $80,635.25 following a 1% market increase. Over the past day Bitcoin saw a 22% decrease in its trading volume as its price increased. BTC Futures experienced a 1.3% growth in Open Interest during the last 24 hours due to active market participation based on CoinGlass statistics.

Market experts believe that BTC can hit $118,000 according to their positive outlook. Market optimism rises because the U.S. inflation report was better than predicted while Russia and Ukraine decreased hostilities enabling investors to take risks again.

Market players track Bitcoin volatility through strong and weak trading boundaries as they monitor its price developments. The asset has a high shot at climbing to $95,000 if its value stays above $75,500. The market may plummet to $46,000 when traders fail to maintain the current support level. Market volatility makes investors need to keep a close watch as they enter the market with careful steps.