Key Points
- Bitcoin is predicted to consolidate within the $73k and $60.7k range in the weeks following the halving.
- Crypto analyst CrypNuevo anticipates a move to $66k, with liquidation levels indicating a possible bearish reversal.
Bitcoin’s trading forecast suggests that it will remain within a specific range in the weeks succeeding the halving event.
The crucial resistance level in the short term is at $66.8k, with another significant support level to monitor.
Bitcoin’s Trading Range
Bitcoin [BTC] has established a trading range between $73k and $60.7k, with a mid-point at $66.9k.
Despite a healthy uptrend at the time of writing, the New York Open on the 22nd of April had not taken place.
Crypto analyst CrypNuevo predicted a move to $66k on X, which has since occurred.
The analyst noted that the 7-day look-back period liquidation heatmap revealed a cluster of liquidation levels at the $66k mark.
Price Predictions and Liquidation Levels
This level is less than 1% below the mid-range level of the range formation mentioned earlier, making it a potential point for prices to reverse bearishly.
The New York session open could see prices surpass $66k and collect the liquidity there, followed by a sharp drop to take out the eager bulls waiting for a move past the $65k-$66k short-term resistance zone.
A continued move past $66k would invalidate such a bearish reversal, while a move below $64.5k would signal that $63k is the next target.
The liquidation levels showed the long positions far outweighed the short positions, suggesting a downward move was favorable.
The $66.8k region had a high concentration of large short liquidations, while the $62.8k area had a cluster of long liquidation levels.
A drop below $64.5k could potentially lead to a dip to $62.8k.
CrypNuevo highlighted that a deviation below the range lows usually sees prices go to the opposite extreme of the range.
Such a deviation was observed on the 17th of April when prices fell to $59.8k, but the direction has since reversed.
The RSI on the 4-hour chart also indicated bullish momentum, but the OBV was unable to scale the local resistance level, indicating a lack of buying volume in the past week.
The range highs and range lows have confluence with the liquidity pockets at $73.2k and $56k, making them the higher timeframe levels of interest.
It is predicted that Bitcoin will consolidate within these levels for a few weeks and gather strength for its breakout after the selling pressure that came with the halving.
