Analyst: Bitcoin's next support level is $54K

Bitcoin is retesting its February low of $62,000 and attempting to break below it, according to on-chain analyst Axel Adler Jr. In a blog post, he noted that selling pressure is intensifying as the price approaches this level, leading to more severe realized losses than during the previous dip in February. Adler Jr. explained that the current net realized loss is approximately $7 billion, which is higher than at the February price bottom but still below the $14 billion peak seen during last winter's capitulation phase. He highlighted that only two key support levels remain below the current price: $54,000, which is the average realized price for the entire network, and $49,000, the average purchase price for long-term holders. Both of these levels have historically marked the entry into full capitulation phases in past cycles. Adler Jr. emphasized that as long as the $54,000 level holds, the market will not enter a full capitulation. However, he warned that if the February low is broken and the price enters the average purchase price zone, it could signal the start of a major downtrend.