Bitcoin is now close to the $58,000 support line, a sign at the bottom of each cycle since 2015. According to the Global Macro Manager of Fidelity, Jurrien Timmer, this price zone is considered an accumulation zone, but there is a lack of a catalyst for a rebound. The trade price of bitcoin has fallen to lower levels in 2018 and 2022 compared to its trend line and gold, but Timmer has yet to confirm that the bottom has arrived.
Timmer states that, without a liquidity catalyst, Bitcoin could be in the vicinity of the support slot for several months. He mentioned that speculative funds had shifted from bitcoin to gold to semiconductor stocks. Timmer ' s model is based on the entire price history of bitcoin, using logarithmic graphs to draw up and down three curves, where the bottom support line has been captured at each of the main bottoms since 2015.
He expected that the gap in the trade price of Bitcoin, compared to the trend line, had reached a negative 56 per cent, and that depth had been marked as an accumulation zone, corresponding to the low points in 2018 and 2022. Nevertheless, Timmer did not confirm that the bottom had arrived. He stated that the speculative premium that drove the Bitcoin price above $120,000 had largely disappeared, that global monetary supply growth was slowing and that there was no catalyst for reversal until liquidity recovered.
Nevertheless, he believed that bitcoin might stay a few months near the support line, rather than quickly rebounding. Rapid funding has been withdrawn, and Timmer points out that it has shifted from bitcoin to gold to semiconductor, which is the current target.