Trader DonAlt, who drew attention for correctly predicting XRP would surge from $0.50 to $3.50, flagged a key Bitcoin resistance zone and laid out its next direction.

On July 29, blockchain outlet U.Today reported that DonAlt judged Bitcoin to have reached a turning point separating a long-term downtrend from a new large-scale rally.

The current market baseline is between $66,600 and $68,000. Bitcoin is holding above around $64,000, seen as a psychological level, while investors are watching the U.S. Federal Reserve's interest rate decision. DonAlt marked the zone as a red resistance line on his weekly price outlook chart.

DonAlt said of the current setup, "Above the red line we actually look quite good." He did not rush to pin down the direction. He added he would not make blind predictions.

His reference point was the weekly candle close. Whether the weekly close forms above the resistance line is seen as a key signal to major market participants of buying strength. That narrows the Bitcoin market to 2 scenarios.

In a bullish scenario, if Bitcoin clearly secures a weekly close above the $66,600 to $68,000 resistance zone, the downtrend could break and a path toward a new record high could open. If buying fails to defend current levels, there is a risk of a pullback first to $60,000. If fear grows, it also left open the possibility of a slide to $42,000 to $45,500, a key support zone.

He pointed to Ethereum as a coin with greater potential than Bitcoin. The remark reflects a view that Ethereum's chart is recovering faster and more cleanly than Bitcoin's.

On the supply-and-demand side, accumulation by large holders was also seen. Analyst Ali Martinez, citing on-chain data from analytics platform Santiment, said whale investors bought an additional 29,075 BTC over the past week. That suggests big players are increasing positions by using pullbacks as Bitcoin attempts a short-term resistance breakout.

The key question for the market is whether Bitcoin can clear the $66,600 to $68,000 zone on a weekly closing basis. Even at the same price level, judgments can differ between an extended long-term decline and a trend shift depending on where it closes, and attention is also on whether Ethereum's relative strength continues.

$BTC Above the red line we actually look quite good Might have to add some if we do close above it pic.twitter.com/YzD9zLJx46