Bitcoin prices have fallen more than 3% in the past week as the broader crypto market suffers from a general price correction affected by macroeconomic pressures. In particular, the best cryptocurrencies are currently trading above $104,000, representing an estimated 7% record high of $111,970. In what may still be just a fix, market analyst Darn Crypto highlights a support zone with strong potential to stop any further price drops.
$97,000 to $99,000 will be featured as key BTC price levels
In a short X post on May 31st, Daan Crypto shared his careful outlook on Bitcoin amid ongoing price adjustments. Analysts point out that if the retracement continues through June, Bitcoin is likely to drop to around $97,000-99,000, where it could potentially find reliable market resistance.
Daan Crypto chose this price range and comes from the confluence of technical indicators as the next major support level for Bitcoin. As can be seen in the chart below, the $97,000-$99,000 price regions host a 200-day moving average and a boost level of 0.382 Fibonacci, as well as representing the mid-range range of Bitcoin trading channels from $90,845-$108,386.
The midrange of trading channels usually acts as a major level of support or resistance, depending on where the price is. Among Bitcoin price adjustments, the current midrange range is between $97,000 and $99,000, representing the next major price range for the best cryptocurrencies.
Meanwhile, the 0.382 Fibonacci retracement level represents a healthy market correction zone, meaning that prices generally retreat into this area before resuming initial trends. Additionally, 200-day MA is a long-term indicator that averages market closing prices over the past 200 days. It also serves as a support level during the bullish trend that serves as a common retest level before prices continue to move upward trends.
Generally, all three metrics suggest that between $97,000 and $99,000, it will serve as a healthy technical support zone if Bitcoin prices drop further. However, the loss in the support zone threatens the possibility of Bitcoin bullishness, with the next support level set at around $94,000.
Bitcoin price overview
At the time of pressing, Bitcoin traded at $104,650, reflecting a small price profit of 0.14% in the past day. The best cryptocurrencies also show that the majority of new market entrants are holding profits, reporting a monthly increase of 7.21%. However, a weekly decline of 2.86% suggests that a revival of market demand is needed to stop creeping bearish emotional investment.
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