- Bitcoin has achieved steady profit in the last three weeks after the increasing demand.
- The liquidation heat showed that the level of $ 91k could see a bearish reversal.
Bitcoin [BTC] ran higher on the price chart. In the past three days it was able to break down -long trend line resistance for a month and reach a price win of 4.5%.
The Dollar sale saw the US Dollar Index (DXY) reach its lowest level since 2022, accompanied by rising BTC prices.
The argument that investors flee to gold if a cover against uncertainty had weight-gold reached a new of all time, but the same does not apply to BTC.
The crypto -active has been in a fixed trend for three months next to the falling DXY, and the last ten days does not necessarily mean that it is a safe asset.
The Texas Bitcoin Strategic Reserve Act will see deliberation on 23 April. The State is to add $ 500 million annually and would be the first in the US to formally keep BTC in its balance if the law is passed.
Technical analysis showed that BTC bulls were cooking
Source: BTC/USDT on TradingView
The aforementioned trendline resistance (white) was again tested as support on Sunday 20 April.
This breakout was accompanied by a steady upward trend on the OBV in the past three weeks, which shows that the purchasing pressure is common.
A daily session that would be close to $ 87.5K would turn the BTC swing structure bullishs, which signaled a long-term upward trend. The RSI was 59 and showed that Bullish Momentum was building.
The level of $ 92k, however, represented the lows of a former reach, which marked it as a strong resistance level.
A rising BTC, while the Dow Jones Index (DJI) fell nearly 1000 points on Monday, that crypto disconnected from traditional markets.
Yet this was the time when swing traders had to brace themselves for increased volatility and a potential reversal.
The 3-month liquidation heat from Bitcoin indicated that the recent rally could see a bearish reversal at $ 89.2k- $ 91k. The price is usually attracted to liquidity.
The liquidity pocket up to $ 91K saw a structure of short liquidations since 23 March.
After $ 91k, the $ 100k was the next remarkable magnetic zone. The intervening area also had significant liquidation levels. Under the current market price, the next liquidity pocket was the support of $ 82.7K.
The chances of a persistent step were injured by these reversing zones and traders must be careful as the price approaches $ 91k.
Disclaimer: The presented information does not form financial, investments, trade or other types of advice and is only the opinion of the writer