Bitcoin still lacks $60K support as BTC price nears $100M liquidity zone

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William Suberg10 hours agoBitcoin still lacks $60K support as BTC price nears $100M liquidity zoneBitcoin traders are upping the stakes amid a tightly rangebound few days for BTC price action.5585 Total views3 Total sharesListen to article 0:00Market UpdateOwn this piece of crypto historyCollect this article as NFTJoin us on social networksBitcoin (BTC) returned to $63,000 on May 10 as overhead liquidity thickened past $100 million.BTC/USD 1-hour chart. Source: TradingViewBitcoin liquidity battle heats up

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD spiking to local highs of $63,876 on Bitstamp before consolidating.

BTC price action improved overnight after seeing lows under $61,000 — a weakness that persisted despite hot United States unemployment figures.

Analyzing the status quo on order books, trading resource Material Indicators flagged a significant build-up of ask liquidity immediately above the spot price.

Between $63,000 and $65,000, this totaled more than $100 million on the day, per data from its FireCharts proprietary trading tool.

“Historically, the side with the highest concentration of liquidity wins these intra-trend battles,” it added on X.BTC/USDT liquidity heatmap. Source: Material Indicators/X

The day prior, Material Indicators co-founder Keith Alan offered an extended analysis of potential support levels should Bitcoin see another downward slump.

“Obvious targets take us first to the historical consolidation range of $58k - $60k,” he wrote.“Order book data in FireCharts shows that there isn’t currently a lot of bid liquidity at $60k, but there is a more at $58k. If price holds there, it would create a higher low which is what bulls want to see.”BTC/USD 1-week chart with 21SMA. Source: TradingView

Alan stressed the significance of the 21-week simple moving average (SMA), currently at $56,127, with $52,000 coming into play should that level fail to hold.

“A move that low would represent a 30% correction from the all time high. A good chunk of the bid liquidity that was forming support in that range was moved up to $58k this week and that provides a clue that sentiment is shifting upward, at least for now,” he continued.“Of course, nothing changes sentiment like price movement so, if bears manage to push price below $58k we will either see sentiment strengthen in the $50k - $52k range or start shifting towards the mid $40s.”BTC price "simply holding range low"

Summarizing the current landscape, meanwhile, popular trader and analyst Rekt Capital saw little signs of upheaval.

Related: Ethereum "speculatory divergence" sees ETH price cling to $3K support

“Bitcoin is still simply holding the Range Low as support, following the downside wick from last week,” he told X followers.

An accompanying chart provided context for BTC price moves in light of April’s block subsidy halving, with Rekt Capital previously suggesting that this year’s event did not fundamentally differ from previous halvings.BTC price comparison. Source: Rekt Capital/X

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.# Bitcoin# Bitcoin Price# MarketsAdd reaction