From some previous weeks, BTC consolidated in a certain range, which is 59,425 to 73,881. From 24 June 2024 onward, BTC broke the consolidation phase to liquidity exposure to break this range.
If you don’t know how the market works:
This is for you. Market ups and downs are based on liquidity, and on which side liquidity nears, it goes that direction to get exposure and to give market reversal to the peak level. And most of the BTC liquidity stands at 53,423. From this point, after the liquidity hunt, BTC gives reversal, and we all are hoping that the previous high will be broken, but based on analysis, there is a strong resistance area ranging from 67,642 to 72,144. That happened, as expected, and BTC got rejected from this area after reaching 70,080. Most of the analytical traders short the BTC from here because they believe that the reason to short BTC is lower buying pressure than selling and due to the resistance zone. And even after the liquidation hunt, if it cannot break the high, there is a clear from that. If it does not break the high, then the low will be broken. And that happened, and BTC broke the low, and BTC came to 48,888. Almost 210,000 traders who had long positions in the low-marked zone were liquidated. The total liquidation comes in at $816.44 M. Everyone predicted the bloodshed situation in the market. However, some intelligent traders who short BTC from the highest point already know why this happens, as they know that if the market is rejected, high and not able to break the high, then the low is going to be broken, which is the most important and basic theory of the analytical study of the graph.
BTC Pulls Toward the Upside:
This is the area from where BTC pulls toward the upside again after the dump.
After the dump, there is a strong area from where everyone expected market reversal, shown in the figure by the heading(most reliable area ). This area is because of this level; there is an order block area on the daytime Frame, which ranges from 48,301 to 50,428. This area has an imbalance, ranging from 47,702 to 43,888. This area is still reliable and predicted on the experience base that most of the time, when there is a big dump in the market, and there is an order block, and below this order block, if there is an imbalance, then the market comes to fill that imbalance most of the time. But in the current situation, it is not very shocking why it does not fill that imbalance. The market will come in that area to fill the imbalance, break the high, and make the new high in the graph. As a trader and according to my experience, the market will again reject from the zone ranges from 62,271 to 65,650. And it comes back to the area I told you about, and then it will break the high, and we will see a new high, which will be between 74,000 and 85,000. This is my prediction, and if you want to trade on this scenario, do it at your own risk. Since the birth of the BTC, August has been full of bloodshed yearly. So, trade with the lowest margin and always use a stop loss.
