Categories: Business

Bitcoin Price Struggles With Liquidity Holds From $86,000 To $104,000, Analyst Reveals The Logical Thing To Do

This article is also available in Spanish.

Bitcoin price has spent the majority of the last seven days consolidating around the $94,000 mark with signs of a break on either side. According to a crypto analyst, recent Bitcoin price movements have led to the creation of liquidity blocks seen between $86,000 and $104,000, increasing the equal probability of a rebound towards $104,000 or $104,000. a downward break at $86,000 from the current price.

Massive liquidity blockages in both directions

Bitcoin’s recent price consolidation has given little to no idea of ​​what to expect, with the liquidation heatmap also relaying the same trend. As pointed out Crypto analyst Kevin (@Kev_Capital_TA) Bitcoin liquidation heatmap relays massive liquidation blocks from $86,000 to $90,000, up to $104,000.

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According to the analyst, these mass liquidation holds raise the possibility that Bitcoin price will continue to oscillate between these levels and create an up and down movement between $86,000 and $104,000 until the end of the month. However, a breakout to $86,000 could have a devastating effect on the price of Bitcoin. Bitcoin UTXO Realized Price Distribution (URPD) ATH-Partitioned shows empty bracket of $12,000 below this price level. Therefore, a drop to $86,000 opens the possibility of a further crash to $75,000.

Bitcoin price action is expected to continue trading within the $86,000-$104,000 trading range and a bullish scenario will only emerge if Bitcoin ends up exceeding $108,000. This level is important because it constitutes the current peak in the price of Bitcoin. A break beyond $108,000 would result in new all-time highs for the leading cryptocurrency and could pave the way for a more sustained uptrend.

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The analyst also highlights the importance of monitoring USDT dominance, which currently stands at 3.7%. Kevin argues that a clean break in USDT dominance is a necessary signal for a more stable and bullish market environment. A consequence of USDT’s reduced dominance is that investors are converting their stablecoins into Bitcoin and other cryptocurrencies.

Logical approach to liquidation blocks

Kevin noted that the logical approach would be to keep an eye on the market during these anticipated choppy up and down moves. This approach is even more convenient for traders who are more involved in recent transactions and current price action.

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On the other hand, traders who hold from bear market lows maybe I’ll find it easier to withstand current volatility, given that the broader bullish outlook plans further price increases throughout 2025.

At the time of writing, Bitcoin is trading at $94,050 and is down 0.5% and 5.46% respectively over the past 24 hours.

BTC price falls below $92,000 again | Source: BTCUSD on Tradingview.com

Featured image created with Dall.E, chart from Tradingview.com

remon Buul

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