BTCUSDT is consolidating. However, a local downward trading range is forming relative to the current setup. What is the probability of a correction continuing to 112K or growth to 125K?
Daily structure: a local correctional channel within a global bullish trend. We have cascading resistance at 119.2, 119.6, 120, and 120.8. It will be quite difficult to break through this zone on the first attempt, but MM can use it to form traps and collect liquidity.
At the bottom, everything is simpler — a breakdown of the local bullish structure, the formation of an intermediate minimum, below which there is a void down to 112K.
Yesterday, relative to 115-116K, mm staged a massacre (trap) on both sides of the market.
Liquidity collection, return to the range, and growth. The reaction to the false breakdown of support is quite strong. Since the opening of the session, Bitcoin has been heading towards resistance, but there may not be enough potential to break through the upper resistance conglomerate, so I expect to see a pullback or decline to 116-115-114.
Resistance levels: 119.2, 120.1, 120.85
Support levels: 116.37, 115.67, 112
Technically and fundamentally, I do not see any drivers that could support the market (I am talking about Bitcoin, since the driver for altcoins is the decline in Bitcoin’s dominance). It is possible that this may appear later. In the current situation, I am considering a false breakout and correction, as the market has not yet finished consolidating or correcting, and the current downward trading range may be extended.
PS: As the price moves towards resistance, it is necessary to monitor the reaction. The market itself will show what it is preparing for…
Best regards, R. Linda!
