Bitcoin at a Crossroads: BTC Must Reclaim $89K to End Slump, Analyst Warns

Bitcoin at a Crossroads: Analyst Says $89K Is the Key Level

According to cryptocurrency analyst Matthew Hyland, Bitcoin has to conclude the week over $89,000 in order to indicate that the short-term slump is over.

The only way for Bitcoin to confirm that the bottom is actually in would be to close a weekly back above $89K,

Hyland

On March 7, Bitcoin last traded at $89,000, a figure that Hyland views as critical because it was the support zone when Bitcoin finally “broke down below.” On March 11, it fell to $78,523 after dropping below $89,000, and then it stabilized in the mid-$ 80,000s. According to CoinGlass statistics, a move above $89,000 would liquidate about $1.60 billion in short positions, with Bitcoin currently trading at $82,839 at this time.

Bitcoin’s Struggle to Maintain Momentum: $89K is the Key to Avoiding a Decline

Hyland cautioned that the price of the asset might fall to $74,000 to $69,000, a level that Bitcoin hasn’t reached since November, if it doesn’t close above it.

It probably is likely at this point that going into the coming weeks or the coming months, Bitcoin will likely test this lower range at some point of support. If we do get a weekly close above this area, I think the low is in for Bitcoin, and we are not going down to this area,

Hyland

According to Hyland, when Bitcoin breaks above a resistance level, it usually results in additional gains. However, macroeconomic considerations have recently resulted in a decline in the demand for Bitcoin in the United States. According to CryptoQuant, the demand for Bitcoin shrank by 103,000 BTC last week compared to the week before, which was the highest rate of decline since July 2024.

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