Bitcoin’s bearish momentum has cooled off as the price holds above the late November swing low. While there has been a steady uptrend, signs of a strong bullish reversal remain weak. A recent analysis explores the factors that could influence Bitcoin’s next major move.
In a December 12 post on X, analyst Ali Martinez highlighted that Bitcoin’s next significant move depends on how the price behaves around key levels identified using the MVRV Extreme Deviation Pricing Bands. This metric helps determine when Bitcoin is undervalued or overvalued by comparing its market price to its Realized Price and plotting standard deviation bands around it.
According to the chart, the +0.5 standard deviation band aligns with the $99,000 level, which has historically acted as a local top and a resistance point against short-term bullish momentum. This is often due to increased profit-taking by sellers. A decisive break above $99,000 could signal renewed bullish interest, potentially fueling upward momentum upon a retest.
On the other hand, the most immediate support zone is around $76,000, corresponding to the –0.5 deviation band. This level suggests Bitcoin would be undervalued if reached. Past cycles show that pullbacks to this region have often been followed by upward momentum, driven by a “buy-the-dip” mentality. However, a drop below this support could indicate intensified selling pressure, potentially leading to a deeper correction.
If Bitcoin breaks above the $99,000 resistance, it may face another challenge near the +1 standard deviation band around $122,000. This level has historically acted as strong resistance during bullish rallies. A break above it could pave the way for a new all-time high.
Conversely, if the –0.5 deviation support at $76,000 fails, the price could decline toward the –1.0 deviation level at $53,000. This zone has historically served as a strong accumulation area, often preceding major price expansions after periods of sideways movement.
At the time of writing, Bitcoin is trading around $90,400, down 1.24% over the past 24 hours, according to CoinMarketCap data.
Frequently Asked Questions
Bitcoin Price FAQs Approaching 76000 and 99000
Beginner Questions
Q Why are 76000 and 99000 considered so important for Bitcoin right now
A These are major psychological and technical price levels 76000 is near Bitcoins alltime high and breaking past it could signal strong bullish momentum 99000 is seen as the next major target and resistance level if that high is broken
Q What does it mean if Bitcoin breaks through 76000
A If Bitcoins price rises and stays consistently above 76000 it suggests strong buying pressure and could lead to a further rally as new investors jump in and sellers hold back aiming for higher prices like 99000
Q What happens if Bitcoin hits 99000
A Reaching 99000 would be a new alltime high likely generating massive media attention and potentially drawing more institutional investment However it could also lead to increased volatility as some investors take profits
Q Could the price fall instead of going up
A Absolutely If Bitcoin fails to break past 76000 and gets rejected it could fall back to lower support levels All markets move in cycles and corrections are a normal part of Bitcoins volatility
Q As a beginner what should I do when the price is at these key points
A Focus on education and risk management Never invest more than you can afford to lose Consider that high volatility works both waysprices can drop sharply Many experts advise a longterm hold strategy rather than trying to time these shortterm moves
Advanced Strategic Questions
Q What are the key onchain metrics or indicators to watch as we approach these levels
A Watch exchange reserves the MVRV ratio and funding rates in perpetual futures markets
Q How might institutional behavior change if 76000 is decisively broken
A A confirmed breakout could trigger more institutional adoption including new ETF inflows corporate treasury allocations and structured product offerings as it validates the bullish narrative and reduces perceived nearterm risk