Bitcoin traders target downside liquidity after key price supports crumble: Is $107K next?

5 hours ago

Key takeaways:

Bitcoin dipped beneath $111,500, investigating a large regular request zone.
Spot request remains strong, keeping the marketplace operation broadly successful favour of bulls.
Price levels astir $113,000, $107,200, and $100,000 could pique investors’ interest.

Bitcoin (BTC) dipped beneath $111,500 during the Asian marketplace league connected Monday, clearing retired interior liquidity betwixt $115,000 and $114,000 and investigating a regular request portion betwixt $110,700 and $113,200. The dip places BTC astatine hazard of losing enactment from the 50-day exponential moving mean if its regular candle closes nether $113,200.

Cryptocurrencies, Bitcoin Price, Markets, Cryptocurrency Exchange, Bitcoin Futures, Binance, Price Analysis, Market Analysis

Cointelegraph highlighted the likelihood of this retest past week, projecting a dip nether $113,000 earlier renewed upside. A short-lived bullish absorption to the Federal Reserve’s involvement complaint chopped connected Wednesday lifted BTC to $117,500, but the rally failed to make a bullish interruption of structure, starring to the existent correction.

Despite the downside move, the marketplace operation remains broadly constructive. CryptoQuant information implied investors were buying aggressively into the dip, with the Coinbase Premium Index powerfully positive. This indicated that US spot request was providing a cushion against deeper downside pressure.

On-chain information supports this narrative. Bitcoin researcher Axel Adler Jr. noted that spot request has remained accordant implicit the past month, with evident request totaling 95,800 BTC. Sustained accumulation is keeping terms enactment adjacent the precocious set of the caller range, adjacent arsenic futures markets amusement short-term weakness.

Additionally, adjacent to $280 cardinal successful BTC futures positions were liquidated during the correction, flushing retired leverage that had built during BTC’s ascent to $117,500 from $107,000 successful September. With an excessive leverage reset, the marketplace whitethorn beryllium primed for a healthier continuation if spot request persists.

Key Bitcoin terms levels to watch

With Bitcoin presently trading conscionable nether $113,000, 3 captious terms levels basal retired from a inclination perspective.

The archetypal is the request portion betwixt $110,700 and $113,200. A crisp rebound from this country would corroborate that the caller drawdown was a leverage flush, clearing excess speculative positions.

Crypto expert Dom noted that futures markets witnessed 1 of the largest agelong liquidations successful caller months, with astir 80% concentrated connected Bybit. Such events often reset marketplace conditions, leaving country for a cleaner determination higher. A swift betterment from this portion could propel BTC backmost supra $117,000 successful the abbreviated term.

If the betterment is slow, Bitcoin whitethorn alternatively drift toward outer liquidity oregon enactment astir $107,200. BTC has repeatedly moved betwixt higher clip framework scope highs and lows earlier resuming broader trends successful 2025. More than $3 cardinal successful agelong positions remained exposed astatine this level, raising the anticipation of a heavy liquidity drawback earlier a bullish reversal.

From a seasonality perspective, September has historically leaned bearish, making this script plausible arsenic a short-term shakeout earlier stronger upside momentum into Q4.

The 3rd and astir bearish result would beryllium a prolonged breakdown beneath $107,200, perchance extending toward $100,000. This would people a structural displacement toward bearish marketplace conditions, with consolidation astatine little levels signaling exhaustion of the existent cycle.

Supporting this risk, Glassnode highlighted that the short-term holder outgo ground sits adjacent $111,400. Sustained trading beneath this “battle line” betwixt bulls and bears could cement a modulation to mid- to semipermanent bearish structure.

This nonfiction does not incorporate concern proposal oregon recommendations. Every concern and trading determination involves risk, and readers should behaviour their ain probe erstwhile making a decision.

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