Key Points
- Bitcoin and Ethereum are expected to hit their local highs this week.
- A resistance below $70k could be a significant hurdle for buyers.
Bitcoin [BTC] has successfully surpassed the resistance zone at $60k-$61k and is currently trading just under $63k. This has led traders to speculate that Bitcoin is on its way to reaching its all-time high of $73.7k.
The selling pressure on BTC from the German government has lessened and last week saw a strong inflow into spot ETFs. This has created a favourable environment for a price rebound.
Projections Based on Liquidation Charts
Crypto analyst CrypNuevo, in a post on X (formerly Twitter), outlined two potential scenarios for Bitcoin in the near future. One scenario was debunked, which was a rejection from the previous range lows at $60k.
The other scenario indicated that the $60.6k resistance zone would turn into support and be retested before prices surge towards the $68k and $73k resistance zones.
This forecast is based on the assumption that the lower timeframe market structure would turn bullish, and the liquidity levels to the north would be the next target after hunting the $55k zone earlier this month.
A retest of the $61k-$62k area could prompt bullish traders to enter long positions targeting the $72k-$73k zone.
Ethereum’s Path to Local Highs
The Ethereum liquidation heatmap indicates that the $3.5k-$3.7k range is likely to be revisited soon. This is another positive sign as the ETH bulls defended the $2.9k level, the 61.8% Fibonacci retracement level, and initiated a recovery from there.
A move towards $3.7k and potentially as high as $4k could occur in the coming weeks. The current evidence suggests that a move to $68k for Bitcoin and $3.7k for Ethereum is likely in the next week.
