Bitcoin’s price is currently stabilizing around $96,300, identified as a significant support level. A decline below this could lead to support at $80,100. The STH cost basis at $92,200 presents additional security, while market conditions remain within a wide range. Upcoming events, including FTX creditor payouts and Federal Reserve meetings, may impact price direction.

The stability of Bitcoin’s price is being scrutinized as significant indicators, such as the adjusted MVRV Z-Score, pinpoint critical support levels amid ongoing market uncertainty. Presently, Bitcoin’s value hovers around its mean price of $96,300, which serves as a temporary support line. Should the price decline below this threshold, the next major support level could drop to $80,100, potentially activating further sell-off pressures.

An additional crucial metric is the Short-Term Holder (STH) cost basis, currently standing at $92,200. This has historically provided strong support during price declines. The current trading range for Bitcoin is established between $71,000 and $131,000, indicating that bullish sentiment persists despite the prevailing market challenges.

The URPD volume profile reveals a liquidity gap under the existing support levels, characterized by a scarcity of transactions within that range. Notably, the $71,000 STH cost basis marks the upper limit of this gap, thereby rendering it a critical threshold in the event of a downward price movement. Conversely, should bullish momentum materialize, $131,000 could serve as an attainable price target.

In the past 24 hours, Bitcoin has exhibited minimal price movement, recording a decline of 0.11% to $96,744, which places it below the daily SMA 50 at $98,838. Following a low of $91,178 on February 3, Bitcoin has remained within a constrained trading range, awaiting a significant catalyst.

Noteworthy events this week may influence Bitcoin’s price trajectory. The FTX exchange is poised to commence its first round of creditor payouts subsequent to its bankruptcy, while the Federal Reserve is set to release the minutes from its January meeting where interest rates were maintained. Fed Chair Jerome Powell has indicated that there is no immediate intent to lower rates, pending further improvements in inflation metrics.

In conclusion, Bitcoin’s price faces crucial support levels as it stabilizes near $96,300, with $80,100 marking a pivotal backup point should declines occur. The Short-Term Holder cost basis of $92,200 can provide additional stability, while monitoring upcoming economic events will be essential for anticipating potential market movements. Overall, Bitcoin’s resilience remains contingent on these indicators and external market developments.

Original Source: www.tokenpost.com

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