Bitcoin bulls are looking to defend a key support level, as the cryptocurrency’s price hovers around $28,000. According to Ali, a well-known chart analyst on Twitter, the most significant support level for Bitcoin is between $27,430 and $28,250. This is where 1.58 million addresses bought 560,000 Bitcoin, creating a strong demand wall that must hold to prevent a downswing to $24,000-$24,900.
Notably, crypto analyst Ali has shared an informative tweet on the current state of the Bitcoin market:
The most significant support level for #Bitcoin is between $27,430 and $28,250, where 1.58 million addresses bought 560,000 $BTC. This demand wall must hold to prevent a downswing to $24,000-$24,900.
— Ali (@ali_charts) May 8, 2023
On the flip side, $BTC needs to break above $29,150 to advance further. pic.twitter.com/gWQmtPwhXl
On the other hand, if Bitcoin is able to break above the $29,150 mark it could signal further gains for the digital asset. The current market sentiment is cautiously optimistic as traders await further developments on this front.
The recent surge in Bitcoin prices has been attributed to institutional investors entering the crypto space and increased adoption by major companies such as Tesla and PayPal. Analysts are expecting more institutional money to flow into cryptocurrencies in the near future which could push prices even higher.
It remains to be seen whether Bitcoin would be able to hold its current support level or if it would succumb to downward pressure and fall back down again. In either case, traders should remain vigilant and keep an eye on any news that might affect the price of BTC in the coming days.
The bottom line is that Bitcoin’s immediate future seems uncertain. However, if demand holds and buyers increase, it could break through the $30,000 mark and even surge higher. As always, investors must be cautious and strategic, hedging their bets against possible losses while hoping for the best.
