A prominent analyst from CryptoQuant, known as IT Tech, is challenging the increasing assertions that Bitcoin has reached its lowest point.
He contends that current data indicates significant resistance levels still lie ahead before any genuine confirmation can be made. The analyst pointed out that while many traders are declaring a market bottom for Bitcoin, on-chain metrics reveal substantial overhead supply from holders who are currently at a loss and waiting to exit at break-even prices.
At the time of this analysis, Bitcoin was trading around $80,870.
Key Insights
The analyst IT Tech asserts that $BTC must reclaim and maintain a price of $88,880 to validate claims of a market bottom.
On-chain data reveals significant resistance zones due to underwater holders potentially selling at break-even points.
Bitcoin has surged over 37% since hitting a low of $60K in February, which has sparked new claims regarding the market’s bottom cycle.
The Fear and Greed Index increased from 5 to 47, indicating an improvement in sentiment throughout the cryptocurrency market.
The Bottom Line
Proponents of the Bitcoin bottom theory believe that February’s price level of $60,000 marked the lowest point $BTC could reach during this cycle.
This decline represented an enormous drawdown of 52.5% from Bitcoin’s all-time high value of $126,200. Since then, no further lows have been recorded; instead, this leading cryptocurrency has rebounded by more than 37% following its low in February.
This recovery has led many analysts to argue increasingly that February’s low signifies the cycle’s bottom phase.
Main Resistance Levels Above Bitcoin
<pIT Tech identifies three key holder cohorts positioned above Bitcoin’s current spot price:
- 3-month to 6-month realized price:$88,880
- 12-month to 18-month realized price:$93,450
- 6-month to 12-month realized price:$111,850
<PThese realized prices reflect average cost bases for various groups who purchased Bitcoin during earlier market phases. </P
The analyst elaborated on how these levels now serve as both psychological and technical barriers because numerous trapped investors may opt to sell once prices return near their entry points. </P
The most considerable concentration exists within the cohort holding for six months up to one year at around $111850—approximately29% higher than BTC’s present valuation.
The Importance Of Hitting $88.88K
IT Tech emphasized that it is crucial for bitcoin not only touch but decisively reclaim$88880 before any valid confirmations about reaching rock-bottom can occur .
The analyst stressed merely grazing this threshold would not suffice; bitcoin needs consistently stay above it rather than just spiking through only later fall back down again .
This assertion stems from his belief ,if$88880 were reclaimed ,the most recent underwater cohort would revert into profit territory thereby alleviating immediate selling pressure exerted by traders looking exit their positions at breakeven.
Until such conditions materialize ,the expert cautioned against expecting rallies between85k-88k range without encountering formidable selling pressure coming primarily latecomers who entered between November2025-February2026.
“Bottom Calls Are Merely Narratives”
In conclusion,the expert urged caution among traders relying solely upon sentiment-driven narratives surrounding potential bottoms instead emphasizing importance analyzing structural aspects alongside holder data remains paramount indicators worth considering when making investment decisions .
FAQs:
<strong Q1: What does IT Tech mean by "Bitcoin must reclaim and hold $88K"?
A1: This means that for there be credible confirmation about whether or not we’ve hit rock-bottom with BTC ,it should successfully surpass& maintain pricing level around$88800.
<strong Q2 : Why do underwater holders matter?
A4 : Underwater holders refer those individuals who’ve purchased bitcoins but currently experiencing losses ;they might decide sell off once values rise enough recover initial investments thus creating resistance zones .
<strong Q3 : How does Fear & Greed Index influence crypto markets?
A4 : It reflects overall investor sentiment ;higher readings suggest optimism while lower numbers indicate fear which can impact buying/selling behaviors across cryptocurrencies significantly .