In a week of increased volatility in the cryptocurrency market, Bitcoin (BTC) investors eagerly follow the charts in search of signs of a potential bull market revival. Amidst the recent sell-offs where BTC lost more than 4.2% of its price, crypto analyst Ali Martinez offered a glimmer of hope to the crypto world.
Bitcoin’s Critical Threshold: $28,233
Ali Martinez, a prominent figure in the crypto world, pointed out an important indicator that could signal the beginning of a bullish rally. According to the analyst, Bitcoin’s Realized Price Indicator of Hot Supply clearly shows the key level for a bull market to resume.
Based on the average price calculated by weighting the BTC supply spent by market participants, the significant threshold that the largest cryptocurrency needs to surpass in order to enter a bull market is $28,233.
The price at which the hot supply occurs represents the less active component of BTC supply controlled by short-term investors. For Bitcoin to embark on a long-lasting bull run, the price needs to rise above this critical level and sustain it. Martinez’s analysis indicates that surpassing this threshold and maintaining the price above it could pave the way for a significant rise.
Price Needs to Rise by 5.5% to Surpass the Threshold
Crypto investors are currently closely monitoring the market, waiting for a decisive price movement that could signal the end of the potential ongoing downtrend. Although the recent price drop may have dampened the spirits of investors who took positions or made preparations in anticipation of a rise, Martinez’s latest commentary provides a clear target level and a glimmer of hope for investors awaiting the next wave of upward movement.
As Bitcoin’s price currently hovers near this critical level, market participants are waiting for it to be surpassed. According to current data, Bitcoin is trading at $26,765 with a 1.50% decrease in the last 24 hours. To surpass the threshold indicated by Martinez at $28,233, the price only needs to rise by 5.5%.
