Bitcoin’s price has dropped below the psychological level of $100,000 and is currently trading between $96,000 and $98,000. Cryptocurrency analyst Ali Martinez provided insight into why Bitcoin could hold well in this range.

Why Bitcoin Price Stays Steady at $96,000 to $98,000

In Post XAli Martinez noted that one of the most significant support levels for the Bitcoin price is between $98,830 and $95,830, where over 1.16 million BTC were purchased for 1.09 wallets. This explains why Bitcoin is holding steady between $96,000 and $98,000 investors who bought between this level continue to provide tremendous support for the flagship cryptocurrency.

As Martinez suggested, it’s significant for holders of the currency to continue to hold steady as a wave of selling could push Bitcoin’s price even lower than $90,000. Flagship cryptocurrency dropped below $100,000 following a recent speech by the Federal Reserve, Jerome Powell, in which he suggested a hawkish stance by the US Central Bank.

This has triggered a massive wave of selling, with a hawkish Fed painting a bearish picture for risky assets like Bitcoin. However, despite the price of Bitcoin falling below, most Bitcoin holders are maintaining profits, which is positive for the flagship cryptocurrency. IntoTheBlock data shows that 86 percent Bitcoin holders is in the money, 4% is out of the money and 9% is in the money.

These Bitcoin holders still appear to be bullish on the leading cryptocurrency as they continue to accumulate more BTC. In post

Traders are expecting a bullish reversal

Ali Martinez suggested that cryptocurrency investors expect a bullish reversal in the Bitcoin price from its current level. This came after he revealed that investors on Binance had climbed to the top, with a 62.17% discount on Bitcoin when it was trading at $108,000. Currently, Martinez stated that sentiment has changed and 55.44% of these trades are now below $96,000.

Meanwhile, it is crucial for Bitcoin’s price to hold at $96,000, as Martinez warned that if BTC loses this support, it could fall below $90,000. The analyst stated that based on the Fibonacci level, if Bitcoin loses $96,000, the next focus will become $90,000 and $85,000. Meanwhile, from a bullish perspective, cryptocurrency analyst Justin Bennett suggested that the $110,000 target is still in focus for Bitcoin’s price.

At the time of writing, Bitcoin is trading at around $97,000, down more than 3% in the last 24 hours, according to data from CoinMarketCap.

Featured image created with Dall.E, chart from Tradingview.com