Cryptocurrency analyst Ali Martinez shared his views on Bitcoin and the critical levels in his opinion in his statement on Twitter.
Cryptocurrency Analyst Ali Martinez Evaluates Bitcoin
Sharing his analysis on Twitter, Martinez stated that the $27,430 to $28,250 range is an important demand region for Bitcoin, and 1.58 million addresses bought 560,000 BTC in this region. Martinez warned that if this support level is not maintained, Bitcoin could drop to the $24,000-$24,900 range.
On the other hand, Martinez said that Bitcoin must rise above $29,150 to maintain its bullish momentum and avoid further losses.
#Bitcoin | The Parabolic SAR just flipped bearish on the daily chart as $BTC appears to lose the 50EMA as support.
A sustained closed below this critical level could confirm a potential correction to $26,200 or even $25,000. pic.twitter.com/oL98qIfDFL
— Ali (@ali_charts) May 8, 2023
Martinez also noted that the Bitcoin network appears to be contracting as it has formed a series of lower highs and lower lows. He said that declining user adoption in BTC typically points to a potential price drop, as fewer wallets mean lower demand and higher selling pressure.
Lastly, Martinez noted that a sustained close below the 50-day EMA could confirm a potential correction for Bitcoin to $26,200 or even $25,000.
*Not investment advice.
