A critical Bitcoin demand zone has emerged between $65,000 and $71,000, according to new analysis from CryptoQuant contributor BorisVest. This price range could present a strategic entry point for investors seeking substantial gains in the leading cryptocurrency.
Key Bitcoin Support Levels Identified
The analysis, published in a recent CryptoQuant Quicktake report, leverages two key metrics – the Active Realized Price (ARP) and True Market Mean Price (TMMP) – to identify this potential accumulation zone. With Bitcoin currently trading at $84,820, this represents a potential 15-23% correction from current levels.
The Active Realized Price, currently hovering around $71,000, calculates the average acquisition price of actively traded BTC while filtering out dormant coins. This metric has historically served as a reliable indicator of market sentiment and potential price floors.
As noted in recent market analysis, uncertainty surrounding Trump’s proposed trade tariffs has increased selling pressure on Bitcoin. However, this potential correction could present an optimal entry point for long-term investors.
Technical Analysis Points to Key Resistance Levels
Prominent analyst Ali Martinez has identified two critical resistance levels that Bitcoin needs to overcome for continued upward momentum:
- 200-day Moving Average: $86,200
- 50-day Moving Average: $88,300
FAQ: Bitcoin Demand Zone Analysis
Q: What makes $65,000-$71,000 a strong demand zone?
A: This range represents the convergence of the Active Realized Price and True Market Mean Price, historically indicating strong buyer interest.
Q: How reliable are these technical indicators?
A: The ARP and TMMP have demonstrated historical accuracy in identifying major support levels, though past performance doesn’t guarantee future results.
Q: What could trigger a move to this demand zone?
A: Continued uncertainty around trade policies, institutional profit-taking, or broader market volatility could drive prices toward these levels.
Market Outlook and Trading Implications
While short-term volatility may persist, the identified demand zone provides a clear framework for potential entry points. Traders should consider setting alerts and developing position strategies around these key technical levels.