Bitcoin is approaching the lower support line of a long-running power-law price model at about $58,000, a level that has marked cycle bottoms since 2015, according to a report cited by Odaily and sourced to CoinDesk. The setup suggests BTC is moving back toward a historical accumulation zone. At the same time, Bitcoin’s undervaluation relative to its trend line and to gold has fallen to levels last seen around the 2018 and late-2022 bottoms. Even so, Fidelity Director of Global Macro Jurrien Timmer has not said the market has already bottomed. Instead, he expects Bitcoin could trade sideways near support for months if no liquidity catalyst appears. Timmer also said speculative capital has rotated out of Bitcoin into gold, with flows now moving into semiconductor stocks. The comments frame the current market as one where valuation signals have weakened toward prior lows, but a clear turn still lacks a catalyst.
BTC is nearing the lower support line of a long-term power-law price model at about $58,000, according to a CoinDesk report cited by Odaily. The level points to Bitcoin moving close to a historical accumulation zone.
The report said the support line has marked cycle bottoms since 2015. Bitcoin’s undervaluation relative to its trend line, and relative to gold, has also dropped to levels seen around the 2018 and late-2022 bottoms.
Still, Fidelity's Jurrien Timmer has not called a market bottom. He said Bitcoin could trade sideways near support for months if no liquidity catalyst emerges.
Timmer also said speculative capital has rotated from Bitcoin into gold, and is now flowing into semiconductor stocks.
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