Disclaimer: The information presented does not constitute financial, investment, trading or other advice and is solely the opinion of the author.
- There was a huge price imbalance between $30.2k and $32.8k on the daily chart.
- At the time of writing, open and current liquidity was $35.6k and $35.9k.
Bitcoin [BTC] reached a new high in 2023 of $35.2k after BlackRock posted a record progress on its spot BTC ETF (Exchange Traded Fund). But the progress report came quickly expelled as BTC’s rally cooled to $34k at the time of writing.
Read Bitcoin [BTC] Price forecast 2023-24
Can Bitcoin Extend the Recovery?
Source: BTC/USDT on TradingView
On the charts, especially on the daily time frame, price imbalances and liquidity existed in the white area of $30.2k – $32.8k.
A Fibonacci retracement tool was plotted between the September low of $24.9k and the recent high of $35.2k. Based on the tool, liquidity on charts was between 50% and 23.6% Fib levels.
Moreover, the 50-EMA (Exponential Moving Average) corresponded to the 38.2% Fib level. It could turn the white area into a bullish zone. A solid recovery in this area could see BTC aim for $35.2k or the bearish OB of $37k-40k (red) formed on May 4, 2022.
The positive values of the RSI and the CMF indicated that the king coin has experienced tremendous buying pressure and capital inflows in recent days.
More liquidation zones of $35.6 and $35.9k
Source: Hyblock
BTC’s market bias has been bearish, as evidenced by the positive CLLD (Cumulative Liquidation Levels Delta). CLLD tracks the difference between open long and short liquidations over time. The positive (green) numbers indicated that more long-term liquidations were recorded – a bearish bias.
How many Worth 1,10,100 BTC today?
On the liquidation profile, large and current liquidation zones (larger bubbles) existed at $35.9k, $35.6k and $34.4k (blue lines on the higher side).
It meant that open liquidity existed at these levels. Thus, BTC could see strong price reactions at these levels before a return to the price imbalance on the charts at $32.8k – $30.2k.