The famous analyst, who said that the Bitcoin (BTC) price could reach $55,000 in the short term, explained the critical support level.

Michael van de Poppe, a full-time trader on the Amsterdam stock exchange, informed his followers on Twitter on March 4 and drew attention to the importance of the $49,000 level for the BTC/USD pair.

In his price analysis, Poppe said that the Bitcoin price is still in an upward trend and added:

Bitcoin is still moving on schedule.

Bitcoin is likely to rise to $55,000

Bitcoin, which recently reached an all-time high of around $58,300, was soon beginning to see a correction. Poppe set $49,000 as the critical support level for the BTC price, which went down to $42,000 and rebounded in this process.

Stating that it is very important to keep the support of $49,000 in the Bitcoin price, the analyst pointed to a short-term decrease if this level cannot be kept. He argued that if the support is held, the rise will continue to $55,000. In his tweet, he wrote:

The $49,000 area must be held so that the correction does not deepen. If this level is broken, a drop to $45,500 can be seen. If $49,000 does not break and a new $52,000 test is realized, a rise to $55,000 is likely.

In his technical assessment chart, Poppe argued that he expected a rise of up to $55,000 in the near term, then a deeper correction could be possible.

Derivatives market hints at local bottoms

The CEO of on-chain data source CryptoQuant, Ki Young Ju, said in a Twitter message on March 4 that “Taker Sell Volume for all derivative exchanges looks helpful to catch the local bottoms.”

Bitcoin Must Hold to 49k to Prevent Further Corrections, Analyst Claims

Sales volume of market buyers in derivatives exchanges. Source: Twitter

Stating that the Bitcoin price rose after the bottom was seen, the CEO argued that although he was not sure about the accuracy, he found a correlation between the two data:

The sales volume of buyers in derivatives exchanges seems useful for detecting local lows. When the volume in the BTC market rises above $ 150 million after the bottom, the price is heading up in the short term. A data that has not yet been tested, but still eye catching.

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