Cryptocurrency analysis firm Alphractal and its CEO Joao Wedson have made important assessments regarding Bitcoin’s current price movements. According to their analysis, Bitcoin needs to clearly break the $86,300 level in order to regain short-term optimism.
In the statement made by Alphractal, it was noted that $ 86,300 is an important technical area called “Alpha Price”, which has worked as both support and resistance in the past. However, according to analysts, even if Bitcoin exceeds this level for a short time, there is a possibility of a pullback again. This situation points to a possible “bull trap”.
The statement also listed lower support zones to watch in case of possible pullbacks: $73,900 and $64,700 stand out as areas that could be retested if Bitcoin weakens.
“Due to the current uncertainty and strong resistance at 86,000, the most logical strategy at the moment is to wait,” Alphractal analysts said, urging investors to remain cautious.
At the beginning of the week, after Bitcoin quickly regained the $85,000 level, there was a limited sense of optimism on social media platforms and news sites. Despite the serious pessimism in recent weeks, when market sentiment is extremely negative, the probability of local bottoms increases, according to Alphractal data.
The company said that investor confidence is expected to increase as the price rises; otherwise, negative sentiment will return.
Alphractal CEO Joao Wedson also personally stated that the Bitcoin price around $86,000 poses high risks.
*This is not investment advice.
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