Bitcoin (BTC) is currently testing key support levels around $110K-$119K, indicating a potential bottom formation as liquidity clusters build.
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BTC’s recent dip has created a fresh liquidity cluster at $114.5K, suggesting possible bullish momentum.
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Historical patterns indicate that BTC often re-accumulates after similar price corrections.
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Current order book data shows weak buy-side commitment, which could impact future price movements.
Bitcoin’s price analysis reveals a potential bottom formation with key support levels emerging, urging traders to monitor liquidity zones closely.
What is Bitcoin’s Current Price Trend?
Bitcoin (BTC) is experiencing a notable price correction, ending July with a 4.26% decline. This marks its first significant pullback in weeks, often seen as a re-accumulation phase.
How Does Historical Price Action Influence Current Trends?
Historically, BTC has printed higher lows since Q2. After a 5% weekly decline, it established a base around $77K, leading to a rally to $109K. Similarly, a base formed in the $105K-$109K zone fueled a breakout to the $123K all-time high.
Frequently Asked Questions
What is the significance of the $114.5K liquidity cluster?
The $114.5K liquidity cluster is crucial as it indicates a potential support zone where buyers may step in, reinforcing BTC’s price stability.
Why is the current buy-side commitment weak?
Current data shows that Bitcoin’s 10% Bid-Ask Ratio is leaning towards the ask side, indicating that sellers currently dominate the market.
Key Takeaways
- BTC’s next long liquidation zone is around 113.2K–113.4K, but the 10% bid-ask still isn’t showing strong buy-side interest.
- Bitcoin ended July with a 4.26% red weekly candle, marking its first notable corrective move in weeks.
- Historical patterns suggest that similar weekly drawdowns often act as re-accumulation phases.
Conclusion
In summary, Bitcoin’s price analysis indicates a potential bottom formation, with key support levels emerging. However, weak buy-side commitment could hinder upward momentum. Traders should remain vigilant and monitor liquidity zones closely for future price movements.
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Bitcoin’s recent price movements indicate a potential bottom formation, with key support levels and liquidity zones emerging.
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Historical patterns suggest that similar corrections often lead to re-accumulation phases.
-
Current market data shows weak buy-side commitment, which could impact BTC’s future price trajectory.
Bitcoin’s price analysis reveals a potential bottom formation with key support levels emerging, urging traders to monitor liquidity zones closely.
What is Bitcoin’s Current Price Trend?
Bitcoin (BTC) is experiencing a notable price correction, ending July with a 4.26% decline. This marks its first significant pullback in weeks, often seen as a re-accumulation phase.
How Does Historical Price Action Influence Current Trends?
Historically, BTC has printed higher lows since Q2. After a 5% weekly decline, it established a base around $77K, leading to a rally to $109K. Similarly, a base formed in the $105K-$109K zone fueled a breakout to the $123K all-time high.
Source: TradingView (BTC/USDT)
Now, with a fresh weekly dip locked in and BTC printing its fourth weekly candle post-ATH, it looks like it’s setting up again. If past structure repeats, BTC could be building its third base in the $110K-$119K range. What’s more, there’s already a solid yellow liquidity cluster building around $114.5K, stacking nearly $24 million in short-side liquidity. A sweep of this level could reinforce the structural support beneath BTC’s price. However, without a shift toward bid-side dominance, the move risks lacking follow-through. Bulls need to establish clear on-chain accumulation beneath this zone to validate a breakout setup.
BTC Orderbook Signals Weak Buy-Side Commitment
Bitcoin’s 10% Bid-Ask Ratio on Binance Spot was leaning toward the ask side, at press time, showing sellers have the upper hand. On the red histogram (left), the ratio was at -0.208, slightly better than the 24-hour average of -0.27, but still showing weak buyer interest. The purple histogram (right) tells the same story, with the value at 0.044, lower than the 24-hour average of 0.066. Most of the activity is below the neutral line, meaning sellers are still in control for now.
Source: Hyblock Capital
What’s different this time is the volume. BTC’s weekly chart shows red volume bars stacking up, while green bars are way below the peaks we saw during the last two base-building phases. That’s a clear sign the bulls haven’t fully stepped in yet. All in all, Bitcoin is probing for a base, but ask-side pressure and muted volume point to weak accumulation. Unless stronger bids start coming in, any push higher remains at risk of getting faded.
