Bitcoin (BTC) values plummeted by nearly 5% over the last 48 hours, influenced by escalating global uncertainties following an Israeli airstrike on Iran on June 12. As financial markets reacted to this development, Bitcoin values fell below $103,000 before seeing a slight recovery to rise into the $105,000 range.
Importantly, leading market analyst Ali Martinez has noted that the premier cryptocurrency needs to uphold a specific support level to avert a significant downturn given the current trading framework.
$100,000 Support Vital For Bitcoin Bullish Challenge
In an X post dated June 13, Ali Martinez provided a technical evaluation of Bitcoin’s price dynamics. The specialist indicates that BTC has adeptly managed a range-bound trajectory since 2024 amidst substantial price increases and prolonged market pullbacks.
In the past six months, Martinez’s review indicates that Bitcoin has primarily fluctuated between $78,500 and $110,000, creating several critical support and resistance levels within this range. Throughout this timeframe, the original cryptocurrency has notably retested the upper limit five times and rebounded from the lower limit four times.
In light of Bitcoin’s latest decline and the likelihood for increased market volatility, particularly with the potential for an all-out conflict in the Middle East, Martinez advises that it is essential for Bitcoin bulls to keep prices above the $100,000 mark, which signifies the subsequent major support level in the market.
The analyst elaborates that based on price movements within a defined trading range, a definitive close beneath the $100,000 level significantly raises the risk of a price drop back to the lower limit at $78,500. This scenario could signify a potential 25% price depreciation for existing BTC holdings.
Conversely, sustaining price movements above $100,000 preserves bullish momentum and enhances the likelihood of revisiting the $110,000 resistance area, possibly with the aspiration of a definitive price breakout beyond the trading range.
Nevertheless, a decline below $100,000 would not automatically activate a swift correction to $78,500. Notably, Martinez’s analysis shows that support levels at $92,000 and $86,000 could offer Bitcoin bulls sufficient chance to regain market dominance.
BTC Price Summary
As of this writing, Bitcoin is trading at $105,194 following a 1.79% decrease over the past 24 hours. In the meantime, the asset’s daily trading volume has increased by 37.04%, signaling heightened market transactions and overall trading activity.
With a market capitalization of $2.07 trillion, Bitcoin continues to lead the cryptocurrency market with a commanding 62.75% market share.
Related Reading: Bitcoin Following ABCD Pattern? Analyst Sees Path To $137,000
Featured image from iStock, chart from TradingView.com