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After the sensible performance in the primary week of October, Bitcoin price development was quite subdued throughout the month. In fact, the leading cryptocurrency has seen bearish moves in what’s widely considered to be a historically bullish month, “Uptober.”
Given the numerous downward pressure in recent weeks, Bitcoin price is prone to end the month within the red. However, a current evaluation shows that the market leader might be preparing for the subsequent big price increase in the approaching week.
Why BTC could make an enormous move next week
In a recent video on YouTube, crypto analyst Maartunn shared an exciting hypothesis about Bitcoin price and said that the coin could make its next big move in the approaching week. This evaluation relies on the Bitcoin Crash Price Trace, which monitors the behavior of BTC after a pointy price drop.
According to Maartunn's evaluation, after a pointy decline for about two to 4 weeks, Bitcoin price tends to enter a period of consolidation or sideways movement before making its next big move. This has been the case for the flagship cryptocurrency because it fell greater than 16% on October tenth.
Maartunn noted that the market leader has currently been on this consolidation phase for 14 days, meaning the subsequent move could come at any time.
Source: @JA_Maartunn on X
The analyst went a step further and provided clues in the info, highlighting that market volatility is decreasing for the leading cryptocurrency. Maartunn believes this drop in volatility is a signal that investors are taking a wait-and-see approach for the subsequent significant price move.
As of this writing, Bitcoin's value is around $111,690, up just 0.6% within the last 24 hours.
Level to listen to the subsequent step
Maartunn went a step further, citing $112,500 as a critical level to keep watch over in case Bitcoin price takes its next big move. This price level is the short-term holders' (STHs) realized price, which frequently acts as a dynamic support and resistance level.
When the worth of BTC is below this realized STH price, it normally implies that probably the most reactive group of Bitcoin investors are within the red. These short-term investors are prone to dump their assets on the breakeven price – when the Bitcoin price returns to their cost basis.
Ultimately, this sell-off would put pressure on the value of Bitcoin and make the realized STH price (currently at $112,500) a major resistance level.
The price of BTC within the every day timeframe | Source: BTCUSDT chart on TradingView
Featured image from iStock, chart from TradingView
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