Bitcoin after a week of declines, it is hovering near key liquidity zones, and investors are currently focusing on untapped areas around USD 64,000. With price action showing potential near-term volatility and H1 support under close watch, the next move may depend on whether Bitcoin tests this low or recovers to higher levels first.

The weekend range sets the stage for next week’s moves

After a week of declines, Bitcoin went into overdrive liquidity area. According to Lennaert Snyder, the market is currently forming a range that could provide clear trading opportunities in the coming week. Although weekend trading is not his main focus, keeping an eye on the price action now helps you plan your approach for next week.

Liquidity is concentrated around the high in the $71,422 range and the reaction to a retest of this zone will be critical. Testing the upper range could trigger low positions in a bear market structure break (MSB) holds or offers long opportunities if Bitcoin successfully reclaims the area.

At the lower end of the $64,500 low and all liquidity below it remains largely unchanged, making this a critical zone to monitor. Once the market reaches this level, traders will be on the lookout for highly likely reversals for long entries or continuation of low positions if support fails.

The interplay between the high range at ~$71,422 and the low around $64,500 will likely mark the next significant swings, offering strategic opportunities for those following both sides of the market.

Bitcoin Eyes Short-Term Breakout Before Possible Pullback

BTC is showing short-term activity that suggests a slight upward rally before resuming lower moves. Cryptocurrency Analyst Scientist highlighted that the H1 support/resistance level at $68,000, which was rejected two days ago, has been broken and reversed, signaling a shift in near-term dynamics.

A recent bearish channel is starting to form from the current configuration. Under this structure, Bitcoin will likely raise in liquidity in the near future before withering. Watching these smaller movements throughout the day can provide investors with clues as to how market intends to reach the next major zones.

The key levels to keep an eye on are the top of the premium zone at $72,200 and the untapped accumulated liquidity above it, ranging from $73,000 to $74,000. These areas can attract buyer temporarily, causing a slight move towards the $73,000 region before the broader downtrend resumes. Traders should closely monitor price behavior as it approaches these levels.

On the other hand, H1 support at $68,000 remains critical. A immaculate break below this zone could accelerate the decline sooner than expected, which confirms bearish canal. Maintaining an awareness of both near-term growth and this key support will lend a hand identify high-probability setups in the near term.

Featured image from Getty Images, chart from Tradingview.com