The Crypto Rover analyst pointed to a trendline below which Bitcoin has never broken in any market cycle. The leading cryptocurrency has now touched this trend line, giving rise to optimism that it can rebound from this level as it has in previous years bear cycles.

Bitcoin is touching the trend line that has led to parabolic increases

In Post XCrypto Rover revealed that Bitcoin has once again touched the trend line, below which it has never fallen in 9 years. Instead, BTC has seen parabolic increases every time it touches this trend line. In 2017, it increased by 1,300% after touching this trend line; in 2018, it increased by 1,900% after being touched; and in 2020, it increased by another 1,900% after being touched. Bitcoin has seen another parabolic surge of 700% after touching this trend line in 2022.

Now Bitcoin has touched this trend line once again, providing optimism that it can bounce back from this region as it has in previous cycles. However, in a different way Post XCrypto Rover suggested that BTC has not yet found a bottom and could still fall below $60,000 before it bottoms. It happened as the analyst mentioned Realized BTC price.

He noted that the realized tiny holder (STH) price of $74,000 had been achieved but the realized price of $53,600 and long-term holders (LTH) realized price of USD 50,000 was not achieved. Crypto Rover added that the low in each previous cycle was below the realized price and that each major color kissed the LTH line. As such, BTC is still likely to see another downward move before it bottoms.

Bitcoin is also at risk of another decline US-Iran war it intensifies again. The United States carried out attacks on military targets in Iran, which led to retaliatory attacks on American military bases in the Persian Gulf region.

A drop below $50,000 is also possible

Cryptocurrency analyst Ali Martinez pointed out that Bitcoin could still fall below $50,000. This came after he indicated the investor price, which he noted is currently $48,300. He said this level is a key area he is looking at long-term accumulation. The analyst described this metric as one of the most crucial metrics on the BTC chain.

Martinez explained that this metric measures the average purchase price of all Bitcoins in economic circulation, filtering out permanently lost coins to provide a more realistic cost basis for the overall market. However, it is worth noting that the analyst has previously stated that there are signs that BTC will soon hit the market bottom. He indicated 1.0-0.8 MVRV teamswhich are at the level of $53,900 and $43,150.

At the time of writing, Bitcoin is trading at around $62,600, having risen over the past 24 hours, according to data from CoinMarketCap.

Featured image from Getty Images, chart from Tradingview.com