Bitcoin Price Action and Liquidity Gaps

• Bitcoin could retrace to fill liquidity gaps between $74,000 and $62,000.
• This fill may occur before Bitcoin moves up again.
• These gaps are key support areas for Bitcoin’s price.

Bitcoin is at a critical juncture with nearby liquidity gaps, indicating where the next bullish move might arise. On March 19, 2025, Bitcoin was priced at $82,796.76 but is struggling to show a retracement.

Liquidity Gaps

There are two main liquidity gaps:
– FVG 1: $74,483 – $70,796
– FVG 2: $64,800 – $62,033

Traders are contemplating if Bitcoin will fill these gaps before regaining momentum or surge to new highs.

Current Price Action and Resistance Levels

Since early 2025, Bitcoin experienced a bullish run, rising from about $47,000 in January to its current price. However, the price is hovering beneath significant resistance at $84,000, where sellers look to gain control.

A predicted retracement may guide the price back toward the first liquidity gap ($74,483 – $70,796), vital for support to contemplate further upward movement. If Bitcoin fails to hold this zone, attention will shift to the second gap between $64,800 – $62,033.

Effects of Liquidity Gaps

Liquidity gaps play a crucial role in defining support and resistance as they reflect future price movements. The first gap acts as a strong support area where Bitcoin may bounce back, making it a potential buying zone for traders.

Conversely, the second gap may encounter selling pressure if the price declines further, potentially representing a deeper correction that could influence trading decisions.

Future Outlook

Will Bitcoin maintain its upward trend past $84,000, or will it retreat to fill the liquidity gaps? Current charts suggest a possibility of pullbacks toward the first gap before plotting any substantial upside. With Bitcoin’s price consolidating near resistance levels, a retest of these significant zones may be on the horizon.

Conclusion

Traders are left with pressing questions around Bitcoin’s short-term trajectory, highlighting the importance of the identified liquidity gaps in determining the cryptocurrency’s next moves.