Bitcoin Plunges 42% from All-Time High... Adam Back's 'Maginot Line' is 'Here'

▲ Bitcoin (BTC), decline, bear market/ChatGPT generated image

The 200-week moving average, considered a key baseline for Bitcoin (BTC)'s long-term trend, has surpassed $61,000, signaling that the bottom of the bull cycle continues to rise even amidst a short-term downturn.

According to crypto media outlet U.Today on May 30 (local time), Blockstream CEO Adam Back stated in a recent X (formerly Twitter) post that Bitcoin's 200-week moving average has crossed $61,000. Adam Back wrote, "Bitcoin's 200-week moving average has passed $61,000," highlighting the rise in the long-term trend line.

The 200-week moving average is evaluated as a long-term trend line that shows the fundamental flow in Bitcoin's traditional four-year cycle. U.Today explained that this indicator is frequently used as a baseline dividing bear and bull markets, and has served as a long-term support level in past bear markets.

Adam Back's latest remark is an additional update following his statement on May 4 that Bitcoin's 200-week moving average had surpassed $60,000. Back had previously reported at the end of March that the same indicator had broken through $59,000, consistently tracking even small increases.

U.Today reported that Bitcoin is currently down approximately 42% from its all-time high of $126,198 recorded in October last year. However, it analyzed that the continuous upward movement of the 200-week moving average, regardless of the short-term price decline, indicates that Bitcoin's long-term trend is still being maintained.

In the short-term trend, Bitcoin declined for four consecutive days, falling to $72,364 on May 29, before partially rebounding. Analysts have presented $70,000, which corresponds to traders' on-chain realized price, as a major on-chain support level, and the market is also closely watching Federal Reserve Governor Michelle Bowman's remarks on interest rates and inflation trends.

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