Bitcoin has come very close to the critical lower support boundary built on the basis of the Power Law model. This analytical tool, used by Fidelity since 2015, demonstrates long-term price trends and serves as a reliable indicator for assessing market cycles. Currently, the support line is near the $58,000 mark, while the upper limit of the model is estimated at approximately $120,000.
Jurrien Timmer, Director of Global Macro, characterizes the current range as an accumulation zone. However, he refrains from unequivocally confirming that the market bottom has already been reached. According to him, without a powerful catalyst—such as a return of liquidity to the market—Bitcoin may remain in a sideways trend near this support line for several months.
From my perspective, the current dynamics confirm that the market is in a consolidation phase, and investors should prepare for a prolonged period of low volatility. A break below $58,000 could signal a deeper correction, but history shows that the Power Law line often acts as a reliable support before a new upward movement.