After the Rise, Bitcoin Analysts Commented on the Situation: “It Looks Very Similar to 2022; If the Price Breaks This Level, the Bull Market Will Be Confirmed”
The cryptocurrency market is experiencing turbulent days as Bitcoin surpassed the $80,000 mark, but analytics firm The DeFi Report released a new report urging investors to remain cautious. Analysts emphasized that the current Bitcoin rally bears a striking resemblance to the market structure seen in 2022.
According to the report from The DeFi Report, leveraged trading data and funding rates in the market are very similar to those observed during the 2022 bear market period. The report notes that investors still hold significant short positions, and as the price rises, the liquidation of these positions (a short squeeze) triggers upward price movement.
However, experts argue that spot trading volumes and blockchain activity required for a genuine bull market have not yet reached sufficient levels.
Another point highlighted in the report is institutional investor interest. Although inflows into Bitcoin ETFs continue, the momentum is not as strong as it was in 2024. In addition, recent hints by Michael Saylor, CEO of Strategy, that he may sell Bitcoin to finance dividend payments are viewed as a crack in his “never sell” narrative.
Analysts identified three key price ranges that will determine the future of Bitcoin:
- $85,000: this level, where the 200-day moving average is located, is considered the strongest resistance level.
- $95,000: sustained price movement above this level would be regarded as “confirmation of a true bull market.”
- $65,000 and below: this level, which analysts call the “fair value” zone, could be retested in the event of a potential correction.
See also: "Bitcoin Rises, but Analyst Warns of Potential BTC Price Risks"
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