Bitcoin has just passed a price milestone that it has held for two months, and sellers are now taking the lead.
This faithful step? Average price of Bitcoin over the last 100 weeks. Since November, this 100-week simple moving average has consistently acted as a safety net, a level at which buyers have continued to buy on every dip for nine straight weeks.
But today, prices have fallen below $85,000, sitting convincingly below the 100-week average line, as shown in the chart below. The breakdown means sellers have harnessed all the buying power around support, establishing a potential path to the downside.
So where can liquidation find the next wave of buyers?
In April of last year, buyers emerged around $75,000, which stopped the selling at the time, making it a key level to watch now.
Below that, the next support lies at the 200-week average at $58,000.
Although chart patterns are popular, they do not always guarantee directional bets – like any global or fundamental index. Smart traders always monitor a key level that, if reclaimed, will reverse the bearish mood.
Right now, for bitcoin, that’s $95,000, a level where buyers continued to be outbid by sellers earlier this month and into December. The bull case returns to the table if prices rise above this level.
