Why $80,000 Could Be Bitcoin’s (BTC) Most Important Level Right Now

Bitcoin’s $80,000 level has emerged as a major threshold as the crypto asset attempts to break out of the current bear market. Several technical and on-chain measures are converging around this level.

At the same time, the traditional realized price has become less relevant because of the large amount of illiquid BTC supply, according to CryptoQuant analyst Darkfost.

$80K Breakout Test

In his latest post, Darkfost noted that Bitcoin’s market capitalization has been on the rise. At the cycle peak, the figure even reached $1.75 trillion. Because coins bought more than 10 years ago are now largely considered illiquid, they represent a much smaller share of the market capitalization than Bitcoin purchased more recently. This makes it necessary to adjust the realized price by weighting it according to the amount of capital invested.

Using this capital-weighted approach, the analyst calculated a Bitcoin cost basis of approximately $79,600. That figure places the average invested capital near the $80,000 mark, which makes the level a significant barrier for the crypto asset at present.

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