Analyst Reveals Bitcoin Strategy With 250% Potential Upside — Key Entry Levels Identified | Bitcoinist.com

Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure A popular crypto analyst on the social media platform X has shared a buy-and-hold strategy for Bitcoin, which could potentially yield over 250% gain in the near future.

BTC Price To Bottom Out Around $49,000?

In a recent post on the X platform, market pundit Ali Martinez put forward an exciting trade plan for Bitcoin, the world’s largest cryptocurrency by market capitalization. This strategy revolves around the CVDD (Cumulative Value Days Destroyed) Channel.

Related Reading: Satoshi Nakamoto’s Bitcoin Could Get Stolen, But A BTC Dev Has Proprosed A SolutionCVDD is an on-chain technical indicator based on the volume of aged capital being sent into the market. This on-chain metric is typically used in highlighting zones of long-term support or resistance based on the movement of long-held coins.

The Cumulative Value Days Destroyed line, which is typically the lowest line in the channel, signals a phase of severe undervaluation. The channel extensions (the resistance bands, which are usually the targets during bull markets) are then created by applying Fibonacci multiples to the base CVDD line.

From a historical perspective, the Bitcoin price has never dropped below the CVDD line (the base line of the channel), marking it as a relevant indicator for identifying cycle bottoms. Hence, the line is often considered a primary accumulation zone, where investors often bet on a price reversal.

Source: @ali_charts on X

As shown in the highlighted chart, this CVDD line (blue) is currently around $49,330, representing the potential Bitcoin bottom in this bearish phase. According to Martinez, this price point also represents the perfect spot to take a position in the flagship cryptocurrency.

Next, the market analyst says to take profit from this trade at the resistance levels around $178,478 or $273,158. These $178,478 and $273,158 resistance levels are the CVDD 3.618x and Alpha CVDD lines, respectively, of the channel, and they represent potential cycle tops for the Bitcoin price.

If the price of BTC indeed soars from $49,330 to at least the $178,478 top, that would represent an over 260% rally in one cycle. Meanwhile, it would take a further 53% upside movement from $178,478 toward the next resistance level.

Bitcoin Price Overview

As of this writing, the price of BTC stands at around $67,350, reflecting a more than 1% decline in the past 24 hours. According to data from CoinGecko, the premier cryptocurrency is barely up by 1% kn the weekly timeframe.

Related Reading: What’s Driving Bitcoin And Ethereum Prices – And Why Investors Should Be Watchful

The price of BTC on the daily timeframe | Source: BTCUSDT chart on TradingView

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