Bitcoin (BTC) has had a major correction since January 31, with the top cryptocurrency crashing as much as 27.52 percent.
Presently worth approximately $79,000, Bitcoin’s cost is tenuous above a critical support level known as “the magic line,” set at $74,000, fundamental in establishing the direction of the market, bullish or bearish.
A Historical Buffer Against Bear Markets
Recently on X (once Twitter), market specialist Doctor Profit stressed in a social media article that his analysis places “the magic line” at $74,000 that is not just a number but a significant indicator of market sentiment.
The expert believes that historically, this line has served as a shield against bear market situations. For example, Bitcoin stayed over this support level until a bear market was verified during the 2020 market correction. Doctor Profit says a big correction—that is, even 3050 percent does not indicate a bear market.
Fears of a recession, driven partly by President Donald Trump’s harsh tariff policies aimed at nations including China, Canada, and Mexico, compound this market volatility.
These steps have helped to expose worries about a possible trade war, which would worsen investor sentiment even further and cause a withdrawal from more risky assets, one of them being cryptocurrency.
Still, BTC is not the only one falling back. In this respect, peers such as Ethereum (ETH), XRP, Solana (SOL), and Cardano (ADA) have also tracked Bitcoin’s lead in suffering 10%, 6%, 5% and 6% losses respectively over the 24 hours.
Optimal Bitcoin Entry Point Between $52,000 and $60,000?
Doctor Profit wrote about a potential recession situation in another recent social media posting on platform X and proposed that the best place for investors would fall between $52,000 and $60,000.
If this happens, this prediction suggests a worrying possible drop of another 34% from $79,000 toward the absolute worst case scenario for BTC’s price of $52,000—thereby increasing worries among investors and traders.
Still keeping watch and checking the effects of the stock market on crypto values along with Bitcoin’s motions, Doctor Profit is vigilant. With a target profit level (TP1) matching the magic line, he has aimed at a vital short position.
The financial expert said, “If Bitcoin bounces hard, I’ll reenter.” Doctor Profit finished his evaluation, noting that “if it shows weakness, I’ll stay in cash and search for lower entries between $50,000 and $60,000.”
Though the biggest digital currency, BTC, is off 14% in the last two weeks and about to get at least a temporary foothold at the $79,460 level, it has reached its lowest level since November 2024.
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