Encountering the $73,000 price level again for BTC might face pushback from short-term holders, yet it could also signify a pivotal moment for the asset.
A crypto analyst has suggested that if Bitcoin returns to $73,000, it could signify the start of an acceleration phase dubbed “escape velocity.” This term, borrowed from astrophysics, describes the minimum speed required for an object to break free from the gravitational pull of a celestial body without additional propulsion.
James Check, the analyst, used this concept in a recent market report on May 21, highlighting Bitcoin’s potential trajectory once it surpasses the $73,000 price threshold. Check pointed to the short-term holder (STH) market value to realized value (MVRV) metric, indicating that the market currently doesn’t appear to be “overstretched, overbought, and over-saturated.”
Check explained that although the shift from enthusiasm to euphoria can occur swiftly, it seems that we haven’t quite achieved the euphoric escape velocity just yet.
“We’re currently experiencing a phase of the bull market characterized by steady growth, stability, and enthusiasm, but it’s important to note that euphoria hasn’t set in yet,” he remarked, emphasizing the solid foundations for a potential price rally at $73,000.
However, he cautioned that this price level also marks a point where recently acquired Bitcoin wallets, held for less than 155 days, have reached significant profitability. This could result in some resistance as these holders may choose to sell off their holdings.
Several other cryptocurrency analysts share the sentiment that true market euphoria has yet to materialize.
“At $70k, Bitcoin is met with little excitement and no signs of euphoria, which is a positive indicator,” noted crypto trader Matthew Hyland in a post on X dated May 22.
“Bitcoin is poised on the edge of price discovery, just a slight movement away,” commented pseudonymous crypto trader Jelle.
Crypto trader Yoddha, operating under a pseudonym, holds the belief that Bitcoin will attain its highest price prior to March 18, 2025. In a recent post on platform X dated May 22, they observed, “Bitcoin has been consolidating within the current range for the past 84 days. In my opinion, based on the current price, BTC will reach its peak within the next 300 days.” According to CoinMarketCap data, a surge to $73,000 from its present value of $69,088 represents an approximate increase of 5.6%.
Read More: Four reasons to buy Bitcoin below $70K
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