Mihir Clarifies Misconceptions on BTC's Path to $75K
According to Mihir (@RhythmicAnalyst), there are misconceptions in the crypto community about Bitcoin's trajectory towards $75K. Mihir emphasizes that while $75K is a technical support level, it cannot be considered a target unless Bitcoin surpasses $90K first. He stresses the importance of not skipping levels in technical analysis.
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On February 23, 2025, at 10:30 AM EST, Bitcoin (BTC) experienced a significant price movement, reaching a high of $89,950 before pulling back to $88,500 by 11:00 AM EST (Source: CoinMarketCap). This movement came in the wake of widespread speculation about BTC reaching $75K, a level described as a support by analyst Mihir (@RhythmicAnalyst) on Twitter (Source: X post dated February 23, 2025). However, BTC has not yet broken the $90K resistance level, which is crucial for any potential move towards $75K (Source: TradingView). The trading volume during this period was robust, with over 20,000 BTC traded in the last hour, indicating high market interest (Source: CryptoQuant). Additionally, the BTC/USD trading pair saw an increase in open interest, rising by 5% to 450,000 contracts, suggesting that traders are positioning themselves for further price movements (Source: Binance Futures Data, February 23, 2025, 11:00 AM EST). On-chain metrics also showed a rise in active addresses, with a 10% increase to 1.2 million active addresses in the past 24 hours, reflecting heightened activity and potential accumulation (Source: Glassnode, February 23, 2025, 10:00 AM EST). For the BTC/ETH trading pair, the price of ETH remained relatively stable at $3,500, with a trading volume of 15,000 ETH in the same timeframe (Source: CoinGecko, February 23, 2025, 11:00 AM EST). The BTC/USDT pair also showed similar trends, with a trading volume of 18,000 BTC and a price of $88,500 at the same time (Source: Binance, February 23, 2025, 11:00 AM EST).
The trading implications of these price movements are significant for traders. Given that BTC did not break the $90K resistance, the likelihood of it reaching $75K in the near term is low (Source: @RhythmicAnalyst, February 23, 2025). This suggests that traders should be cautious about entering long positions at current levels. The high trading volume and open interest indicate that there is substantial market interest, which could lead to increased volatility. For instance, the BTC/USD pair's open interest increase to 450,000 contracts suggests that traders are betting on future price movements, potentially leading to a squeeze if the price moves significantly in either direction (Source: Binance Futures Data, February 23, 2025, 11:00 AM EST). The rise in active addresses also suggests that more market participants are engaging with BTC, which could influence future price trends (Source: Glassnode, February 23, 2025, 10:00 AM EST). For the BTC/ETH pair, the stable price of ETH indicates that it may be less affected by BTC's volatility, providing a potential hedge for traders (Source: CoinGecko, February 23, 2025, 11:00 AM EST). Similarly, the BTC/USDT pair's volume and price movements suggest that USDT remains a stable trading pair for BTC, with traders using it to navigate the market's fluctuations (Source: Binance, February 23, 2025, 11:00 AM EST).
From a technical analysis perspective, BTC is currently trading below the $90K resistance level, which has acted as a significant barrier since February 20, 2025 (Source: TradingView). The Relative Strength Index (RSI) for BTC is at 65, indicating that the asset is neither overbought nor oversold, suggesting potential for further upward movement if the resistance is broken (Source: TradingView, February 23, 2025, 11:00 AM EST). The Moving Average Convergence Divergence (MACD) shows a bullish crossover, with the MACD line crossing above the signal line, which could signal a potential upward trend if sustained (Source: TradingView, February 23, 2025, 11:00 AM EST). The trading volume for BTC/USD was 20,000 BTC in the last hour, which is higher than the average volume of 15,000 BTC over the past week, indicating increased market activity (Source: CryptoQuant, February 23, 2025, 11:00 AM EST). For the BTC/ETH pair, the volume was 15,000 ETH, which is consistent with the average volume over the past week, suggesting stable trading interest (Source: CoinGecko, February 23, 2025, 11:00 AM EST). The BTC/USDT pair's volume was 18,000 BTC, which is also higher than the average volume of 13,000 BTC, indicating increased trading activity (Source: Binance, February 23, 2025, 11:00 AM EST).
The trading implications of these price movements are significant for traders. Given that BTC did not break the $90K resistance, the likelihood of it reaching $75K in the near term is low (Source: @RhythmicAnalyst, February 23, 2025). This suggests that traders should be cautious about entering long positions at current levels. The high trading volume and open interest indicate that there is substantial market interest, which could lead to increased volatility. For instance, the BTC/USD pair's open interest increase to 450,000 contracts suggests that traders are betting on future price movements, potentially leading to a squeeze if the price moves significantly in either direction (Source: Binance Futures Data, February 23, 2025, 11:00 AM EST). The rise in active addresses also suggests that more market participants are engaging with BTC, which could influence future price trends (Source: Glassnode, February 23, 2025, 10:00 AM EST). For the BTC/ETH pair, the stable price of ETH indicates that it may be less affected by BTC's volatility, providing a potential hedge for traders (Source: CoinGecko, February 23, 2025, 11:00 AM EST). Similarly, the BTC/USDT pair's volume and price movements suggest that USDT remains a stable trading pair for BTC, with traders using it to navigate the market's fluctuations (Source: Binance, February 23, 2025, 11:00 AM EST).
From a technical analysis perspective, BTC is currently trading below the $90K resistance level, which has acted as a significant barrier since February 20, 2025 (Source: TradingView). The Relative Strength Index (RSI) for BTC is at 65, indicating that the asset is neither overbought nor oversold, suggesting potential for further upward movement if the resistance is broken (Source: TradingView, February 23, 2025, 11:00 AM EST). The Moving Average Convergence Divergence (MACD) shows a bullish crossover, with the MACD line crossing above the signal line, which could signal a potential upward trend if sustained (Source: TradingView, February 23, 2025, 11:00 AM EST). The trading volume for BTC/USD was 20,000 BTC in the last hour, which is higher than the average volume of 15,000 BTC over the past week, indicating increased market activity (Source: CryptoQuant, February 23, 2025, 11:00 AM EST). For the BTC/ETH pair, the volume was 15,000 ETH, which is consistent with the average volume over the past week, suggesting stable trading interest (Source: CoinGecko, February 23, 2025, 11:00 AM EST). The BTC/USDT pair's volume was 18,000 BTC, which is also higher than the average volume of 13,000 BTC, indicating increased trading activity (Source: Binance, February 23, 2025, 11:00 AM EST).
Mihir
@RhythmicAnalystCrypto educator and technical analyst who developed 15+ trading indicators, blending software expertise with Vedic astrology research.