As outlined by crypto analyst Zen, Bitcoin is currently exhibiting unique scenarios across different timeframes. On the daily chart, Bitcoin is clearly in a downtrend, with each bounce being sold into, indicating that the bears have control of the short-term momentum. Conversely, on the weekly candle timeframe, Bitcoin seems to be stuck in a choppy sideways range where each rally is met with selling pressure, but each dip also attracts buying interest and accumulation. Despite the recent decline in price, Zen’s analysis suggests that the uptrend remains intact on the monthly candle timeframe.
Zen highlighted several major liquidity pools that could potentially impact Bitcoin’s price in July and the following months. The recent price decline that saw Bitcoin break below $60,000 cleared liquidity under $60,630, indicating potential further risks. Additionally, liquidity points at $60,260, $59,440, $58,990, and $56,850 were noted as support and resistance areas. Huge transactions by major holders at these points could lead to significant price movements, potentially causing Bitcoin to dip to $53,000.
The month of July historically has a positive track record for Bitcoin, often registering green candles. This historical tendency could lead to potential upswings in Bitcoin’s price, particularly if the bulls manage to surpass liquidity levels on the upside. Currently trading at $60,765, Bitcoin’s price performance in July will largely be influenced by its ability to maintain bearish momentum or initiate an upswing. A week close above $60,622, according to Zen, could signal a potential price increase in July.
The assessment provided by Zen offers valuable insights into the potential scenarios for Bitcoin’s price in July and beyond. The identification of key liquidity pools and contrasting scenarios across different timeframes sheds light on the factors influencing Bitcoin’s price movements. As investors navigate through the volatility of the cryptocurrency market, staying informed about these critical aspects can help in making well-informed decisions regarding Bitcoin investments.
