Bitcoin Price Forecast: Key Insights Following the Surge to $85,000

Following Bitcoin’s recent rise to $85,000, analysts predict increased volatility and focus on key liquidity zones above $90,000. Analyst CrypNuevo cites the importance of price action and potential scenarios, including price compression and a third retest. Another analyst, Ali Martinez, identifies important support levels and also notes potential for a retest at $79,000. Bitcoin is still significantly below its all-time high, but bullish market sentiment could close this gap rapidly.

Bitcoin (BTC) recently reclaimed the significant price level of $85,000, leading analysts to predict increased market volatility in the upcoming week. Expert Crypto analyst CrypNuevo shared insights about key liquidity and price action trends. He highlighted that liquidations are focused in the range between $90,000 and $91,500, which are seen as crucial psychological thresholds for traders.

With a weekly gain of 7%, Bitcoin shows potential to engage these vital liquidity zones, recovering from a previous downturn to $74,000. CrypNuevo noted that the current balance of liquidation delta features approximately $15 billion in long positions, with an attentiveness advised for any increase beyond $25 billion. He foresees price compression around the daily and weekly 50-day EMA, positioned at about $86,000, which may lead to notable price expansions.

Additionally, CrypNuevo speculated a third retest may occur, following market patterns that tend to function in threes. He identified a mid-range support line at $81,000, despite this being a less probable scenario. Similarly, analyst Ali Martinez corroborated the critical support level at $82,024, based on historical accumulation of approximately 96,580 BTC, which could be key in the event of further price retests.

Martinez also suggested that BTC might be forming a rising wedge pattern, indicating the probability of a retest at the $79,000 support level. Currently, with Bitcoin trading at $85,000, it remains over 21% below its all-time peak of $109,000 experienced in January earlier this year. Nevertheless, given the prevailing bullish sentiment, this price gap could potentially close swiftly within this month.