Recently, NATO Secretary General Mark Rutte, who referred to Trump as “father,” managed to pause the ongoing Greenland discussion, much to the satisfaction of Trump. This development is a result of a confidential agreement that has seemingly prevented the imposition of additional EU tariffs in February. The news has caused a surge in the crypto market, necessitating a detailed analysis of the latest situation in cryptocurrencies.
Bitcoin Analysis
A Turkish on-chain analyst, using the pseudonym anlcnc1, expressed that he does not anticipate a sharp decline in Bitcoin’s value. Confirming his prediction from January 18, Anıl indicates that Bitcoin reaching the short-term holder (STH) cost level could also bring it to the 200-day moving average, pointing towards a return to $105,000.
“In the next attempt, the STH cost level can be quickly surpassed. As observed in the STH SOPR, those not selling at the average cost are now selling at a loss. Once panic selling ends, Bitcoin will make its return.”
This phenomenon is not new; we’ve seen this before.
According to Ali Martinez, if the decline continues, we should focus on three main support levels. On January 21, Bitcoin got tantalizingly close to the $87,000 level but rebounded due to the announcement of the NATO-Trump agreement.
The three key support levels are:
- $87,094
- $83,307
- $79,520
Another renowned analyst, known as the crypto oracle, Roman Trading, who is anticipating a negative turn, forewarns that each rise presents a short-selling opportunity.
“If you’re worried now, wait for BTC to drop below $76,000.” – Roman Trading
Market appetite is notably declining. The Buy/Sell Pressure Delta remains negative, indicating prevailing selling pressure. Joao Wedson, sharing a metric developed by Alphractal, mentioned that only when this metric turns positive from the red zone will the outlook become optimistic.
Coinbase Premium
What about U.S. investors? Confusion abounds as various market graphs, from silver to gold to stocks, show parallels to altcoins. With over 2% fluctuations and sudden surges, we are in extraordinary times.
We monitor the appetite of U.S. investors mainly through the Coinbase Premium. Anıl noted that it had already entered the “extremely negative” zone in his latest update.
“Before the previous move, these negative values accumulated for a while, viewed by smart money as an opportunity. Strategy was an example. Let’s see if someone will again leverage the negative premium.
If no one capitalizes on this, the U.S. selling trend could turn detrimental. Perhaps the premium needs more accumulation first.”
If BTC remains above $90,000, even without intervention by smart money, it might indicate a bottom. However, with Trump involved, uncertainty remains high.
