The Bitcoin (BTC) market experienced another tumultuous week characterized by nearly equal proportions of losses and gains. Data from CoinMarketCap indicates that Bitcoin fluctuated between $95,000 and $98,000, establishing a formidable consolidation zone. However, renowned crypto analyst Burak Kesmeci suggests that significant price levels for the leading cryptocurrency exist beyond this range.
Important Bitcoin Levels to Monitor – $94,000 Support vs. $117,000 Resistance
In a post on X dated February 14, Burak Kesmeci provided a fascinating technical analysis of the BTC market, pinpointing two crucial zones that could influence short-term price movements.
One of these pivotal zones is the 1.6 Gold Ratio Multiplier, currently positioned at $117,000. The 1.6 Golden Ratio Multiplier serves as a valuation tool to highlight essential resistance levels during a bull market. Kesmeci argues that if the Bitcoin Futures market manages to close above $117,000, spot traders can look forward to a potential bull rally, indicating an immediate upward trend.
The second critical price zone highlighted by Burak Kesmeci is the 111-day Moving Average (111DMA), which currently stands at $94,000. The 111DMA is a widely utilized moving average indicator that typically functions as an essential dynamic support level during a bull market.
As a result, a weekly or daily close below $94,000 in the Futures market could trigger significant bearish pressure on Bitcoin, leading to an immediate price decline. According to Kesmeci’s assessment, Bitcoin is expected to break out of its existing consolidation zone for any notable price movement in the near future.
Positive factors that may bolster a price breakout include increased ETF inflows, growing corporate interest in crypto, and meaningful advancements in the US’s pro-crypto agenda. Conversely, investors should be wary of negative influences such as adverse macroeconomic trends, including potential Fed interest rate hikes, particularly in light of the recent uptick in US inflation.
BTC Exchange Inflows Surpass $1 Billion – Is a Price Dip Coming?
In other developments, analytics platform IntoTheBlock reports that the Bitcoin market experienced an inflow exceeding $1.3 billion, resulting in a net inflow of $1.04 billion. Generally, substantial exchange inflows are perceived as a bearish indicator, as investors may be positioning their assets for sale on the exchange.
As of press time, the leading cryptocurrency is trading at $97,653, reflecting a gain of 0.50% over the last 24 hours. However, its daily trading volume has decreased by 12.80%, currently amounting to $32.29 billion. With a market capitalization of $1.93 trillion, BTC remains the largest digital asset.
