The price of Bitcoin has not been particularly impressed over the past two weeks, but it seems to have stabilized its movement within a clear consolidation. In its last attempt to shine, the prime cryptocurrency encountered a strong resistance around $74,000 on Friday, March 13.
Interestingly, the latest data on the chain suggests that the resistance of $74,000 may not be the obstacle it seems. According to a well-known cryptographic analyst on the social media platform X, it seems that the price of Bitcoin has a runway to return to more than $80,000.
BTC price has free runway to $82,000: Analyst
Market expert Ali Martinez took to the X platform to share his insights on Bitcoin’s price movement in the coming weeks, and the return to around $82,000 seems likely without any obstacles. This chain watch is based on the UTXO Realized Price Distribution (URPD) metric, which shows the relevant next BTC levels.
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The URPD metric shows how important a price level is by tracking the volume of cryptocurrency bought at a particular level. This is because the ability of a Bitcoin price level to act as a support or resistance zone usually depends on the number of BTC investors holding their value at a given level.
Typically, price levels above the current spot price with significant buying activity are often considered key support areas. Meanwhile, levels above the current price with significant investor cost bases tend to act as major resistance areas.
According to Martinez, the price of Bitcoin has entered a low resistance zone and there are no obstacles on its way to about $82,045. This puts into question the denial that recently hit around $74,000, which is investor activity based on the UTXO Realized Price Distribution metric.
A move to this next major resistance in the chain would mean an upside of more than 17% from the current price point, an upside that has not been seen to date. However, if the price of Bitcoin does not find the upward momentum to trigger a rally to $82,000, the next support cushion is around $66,898.
Finally, it looks like Bitcoin price may extend its consolidation range with $82,000 as the upper boundary.
Bitcoin price overview
As of this writing, the price of BTC is around $70,820, reflecting a jump of just 0.5% in the last 24 hours. According to CoinGecko, the flagship cryptocurrency is up more than 3% in the past seven days.
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Featured image from DALL-E, chart from TradingView
