Bitcoin remains in a range state, with recent price action showing consolidation rather than directional continuation. Momentum has slowed, and the market is currently reacting to nearby liquidity and technical levels.
Technical Analysis
By Shayan
The Daily Chart
On the daily timeframe, Bitcoin continues to trade below a well-defined descending trendline that has acted as dynamic resistance throughout the recent decline. Each attempt to reclaim higher levels has been capped below this trendline, confirming that sellers are still defending rallies aggressively.
The price is currently consolidating below a key supply zone around the $95K region, where previous breakdowns have occurred. This area aligns closely with a decision point, reinforcing its importance as a resistance cluster. As long as Bitcoin remains below this zone, upside moves are likely to be corrective rather than impulsive.
On the downside, the primary daily support is located around the $80K area. This level has recently absorbed sell pressure and acted as a temporary base, preventing immediate continuation toward deeper support. A daily close below this region would weaken the current structure and open the door for another decline.
Overall, the daily chart reflects a market in consolidation beneath resistance, with structure favoring patience rather than trend continuation until a clear breakout or breakdown occurs.
The 4-Hour Chart
On the 4-hour timeframe, Bitcoin is trading within a compressed structure following the sharp selloff from recent highs. It has formed a rising corrective pattern inside the broader downtrend and has recently broken below it.
Recent attempts to push higher have stalled near the $90K region, where short-term sellers have repeatedly stepped in. This has resulted in a lack of follow-through and continued sideways-to-lower price action. The inability to reclaim the descending trendline suggests that bullish momentum remains weak in the short term.
If Bitcoin fails to hold above the current consolidation range and loses acceptance below $85K, downside pressure could accelerate toward the lower daily support. Conversely, a clean reclaim and hold above $90K would be required to shift short-term momentum and challenge higher resistance levels.
Sentiment Analysis
By Shayan
The 2-week Bitcoin liquidation heatmap highlights a significant liquidity cluster positioned just above the $90K threshold. This area stands out as a dense concentration of leveraged positions, indicating a high probability of price interaction in this zone.
Rather than signaling immediate continuation higher, this liquidity cluster suggests a potential absorption zone. The asset moving into this area may trigger liquidations and forced position closures, allowing larger players to absorb liquidity rather than initiate a sustained breakout. This behavior is consistent with range-bound or corrective conditions rather than trend expansion.
Until the liquidity above $90K is meaningfully cleared and the price shows strong acceptance above it, Bitcoin remains vulnerable to further consolidation or renewed downside moves. The presence of untested liquidity below the current price also keeps the risk of a deeper sweep toward lower demand zones firmly on the table.
In summary, Bitcoin is currently balancing between technical resistance and concentrated liquidity. Without a decisive structural shift, the market remains in a neutral-to-bearish posture, with price likely to continue reacting to nearby liquidity levels before a clear directional move emerges.
