Cryptocurrency analyst and trader Ali Martinez is warning that Bitcoin ( BTC ) could go down by double-digit percentage points if it loses support at a key price level. Martinez tells his 132,100 followers on the social media platform X that Bitcoin has come dangerously close to the support level provided by the 50-week moving average, a level that, when broken, has historically led to deep corrections. According to Martinez, Bitcoin could drop by 44% from the current level if the price breaks below the 50-week moving average. “Today the 50-week moving average sits at the $75,500. If this support level breaks, Bitcoin could drop to the 200-week moving average at $46,000.” The crypto analyst and trader says that the 50-week moving average is the “ultimate Bitcoin bear signal,” and BTC has recorded at least four instances where it tested the 50-week moving average and ended up incurring large losses. “Historically, when Bitcoin drops below the 50-week moving average, it tends to test the 200-week moving average. For instance, in 2014, when Bitcoin dropped below the 50-week moving average, it went all the way down to test the 200-week moving average. In 2018, the same thing happened. After Bitcoin dropped below the 50-week moving average, it went and tested the 200-week moving average. Even in 2020, during the Covid crash, Bitcoin dropped below the 50-week moving average and tested the 200-week moving average. And in 2022, the price correction was more significant. Bitcoin even went below the 200-week moving average.” Bitcoin is trading at $84,771 at time of writing. Follow us on X , Facebook and Telegram Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox Check Price Action Surf The Daily Hodl Mix Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing. Generated Image: Midjourney The post Trader Issues Bitcoin Alert, Says Bitcoin Could Crash 44% if Critical Support Level Fails appeared first on The Daily Hodl .
