Bitcoin Price Faces Gap, May Drop to $110,000 Before Reaching $130,000
The gap between $110,000 and $115,000 is a key area to watch, with a potential drop to $110,000 potentially leading to a buying opportunity, and the measured move suggesting a rise to $130,000, making the current price action crucial for investors and traders alike.
Bitcoin's struggle to break above the $120,000 level continues, with a gap between $110,000 and $115,000 potentially leading to a 7% dip in price, according to Glassnode research, which suggests that short-term holders may play a key role in determining nearby price support levels.
The market has seen a lot of noise just above the $120,000 area, but analysts believe that dips in the market are buying opportunities, with the 50-day EMA likely to provide support. Despite the current struggles, the market has been bullish multiple times in the past, and the interest in Bitcoin ETFs from Wall Street provides a floor for the market. However, this also means that Wall Street's quiet period is affecting the market, capping the price upside at around $140,000 in the event of a breakout.
The measured move suggests that Bitcoin could reach the $130,000 level, with $110,000 below being a hard floor. This potential drop to fill the gap between $110,000 and $115,000 may be a necessary step before the price can rise to higher levels. With short-term holder profit-taking potentially capping the price upside, the market will be closely watching the price action in the coming days.
As the market continues to navigate the current price levels, investors will be looking for signs of a breakout or a dip to $110,000. With the support of the 50-day EMA and the interest from Wall Street, the market may be poised for a move upwards, but the gap between $110,000 and $115,000 remains a key factor to watch.