Trader Warns of Lower Prices for Bitcoin, Says BTC Remains in a Downtrend – Here’s His Downside Target

Analyst and dealer Ali Martinez turns bearish on Bitcoin (BTC) after the flagship digital asset printed corrective alerts.

Martinez tells his 71,200 followers on the social media platform

“Bitco has damaged help! It appears to be like like $55,000 is subsequent.

He appears to be like on the decrease boundary of a parallel channel on the hourly chart and identifies $58,100 as the important thing help stage that was lately damaged when Bitcoin fell to a low of $57,633 up to now 24 hours. Bitcoin subsequently recovered and is buying and selling at $60,283 on the time of writing, up 3.4% up to now 24 hours.

Though Bitcoin is now buying and selling above the channel’s help, Martinez is just not but bullish on the crypto king. He warns that BTC is sending a bearish sign on the hourly timeframe.

“The TD Sequential indicator offered a promote sign on the Bitcoin 1-hour chart, anticipating a brief correction!”

The TD Sequential indicator is utilized in technical evaluation to find out potential bullish or bearish reversal factors.

He too say that Bitcoin’s Market Worth to Realized Worth (MVRV) metric signifies that the flagship crypto asset has been in a downtrend for months.

The MVRV compares Bitcoin’s present market capitalization to its realized capitalization (which is calculated primarily based on the value at which Bitcoin was bought). When the MVRV worth drops beneath zero, it signifies oversold circumstances.

“Zooming out, the Bitcoin MVRV Momentum exhibits that BTC has been in a downtrend since breaking beneath $66,750 in June, and the development hasn’t shifted but!”

Then the dealer used the In/Out of the Cash Round Worth (IOMAP) metric – which classifies crypto addresses as making a revenue, breaking even, or dropping cash – to find out a key resistance stage for meme Dogecoin (DOGE).

“In case you count on a Dogecoin breakout, have in mind the important thing resistance stage at $0.11, the place 23,400 addresses maintain ~31 billion DOGE!”

DOGE is buying and selling at $0.101 on the time of writing, up 1.5% within the final 24 hours.

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Generated picture: Midjourney