Bitcoin (BTC) has four novel key support levels to watch as a novel wave of bearish BTC price action looks to push the market price below $50,000.

Key Points:

• Bitcoin realized prices remain significant milestones as the market forms a long-term low.

• Binance user deposit cost base is the next best safety net, according to the analysis.

• Realized losses reached levels not seen since the end of the bear market in 2022.

BTC price analysis focuses on Binance traders

New analysis from Burak Kesmeci, a contributor to onchain analytics platform CryptoQuant, sees $58,700 as Bitcoin’s next line in the sand.

“Which 4 levels am I observing in Bitcoin? 4 key realized price levels – in my opinion necessary to track the long-term trend,” he wrote on Wednesday in one of the posts on the CryptoQuant Quicktake blog, titled “Bitcoin’s Roadmap to the Bottom”.

The realized price refers to the aggregate BTC supply cost base or a subset thereof. As BTC moves on the chain, its realized price becomes the one at which it was last engaged in a transaction.

Realized prices that affect larger groups of coins can often function as market support or resistance zones.

“Bitcoin has been falling since it lost its New Whales cost base – a classic bear cycle signal,” Kesmeci noted.

The total purchase price for the newer Bitcoin whales is $88,700, but with the price now significantly lower, there are three others on the radar. The realized price of the older whales is the lowest of the selected ones at $41,600, while the total cost of Bitcoin is currently $54,700.

However, between the current spot price and these two levels is the realized price for deposit addresses (UDA RP) on the main global cryptocurrency exchange Binance.

“From here on out, the 2 key supports I will be watching in order are Binance UDA RP and Bitcoin RP (58.7k and 54.7k),” Kesmeci added.

“The reason: when Bitcoin falls below the New Whales cost base, it historically tends to at least test the realized price. And the only support standing between here and there is 58.7k.”

Bitcoin Losses Reflect 2022 Bear Market Bottom

While panic selling by exchange users has abated since BTC/USD rebounded from 15-month lows near $59,000 in early February, CryptoQuant data highlights the risk of further capitulation.

Related: Bitcoin 2024 Buyers Keep BTC Price Steady as Trader Sees 52K dollars “next week or so”

The percentage of BTC supply currently showing unrealized loss has reached 46%, which is the highest reading since the end of the Bitcoin bear market in 2022.

“It is worth noting that the correction was so severe that the increase in supply at a loss occurred very quickly” – Darkfost, CryptoQuant specialist commented on X during the $60,000 lows.

Meanwhile, last week, Darkfost reported a similarly marked level of losses realized by Bitcoin investors, with the coins moving at a lower price than in the previous transaction.

“At the peak on February 5, realized losses exceeded 30,000 BTC,” he added confirmed.

“This remains well below the extreme levels seen during the last bear market, when realized losses reached 92,000 BTC and 80,000 BTC on separate occasions. Nevertheless, it is still a clear sign that a capitulation phase has taken place.”