While Bitcoin continues to hold on to a critical support zone after the recent decline below $60,000, the market’s eyes are now turned to the range of $65,000 to $66,000. According to analysts, the short-term direction will depend on whether the price can break through the above liquidity areas.
Long-term support zone is being watched
In the last sales wave, the February bottom level of around 60 thousand dollars was tested. However, Bitcoin later recovered and managed to stay above both the 200-day moving average and the 200 exponential moving average on the weekly chart. In the market, these two indicators have been viewed as important support areas during corrections in previous bullish cycles.
Daan Crypto Trades stated that Bitcoin reacted after clearing the February bottom and that staying above the 200 weekly moving average and the 200 exponential moving average is important for preserving the structure.
According to the data, Bitcoin is traded at approximately $63,200, while the 200 weekly moving average is around $62,000 and the 200 weekly exponential moving average is near $68,800. Recent reaction buying has indicated that buyers are still in play on these long-term trend indicators.
Mini glossary: Exponential moving average is a trend indicator that gives more weight to recent price movements. Liquidity heat map is used as a tool to visualize in which price zones intense buying and selling orders accumulate in the market.
The band between 64 thousand and 66 thousand dollars stands out
However, analysts are of the opinion that the current recovery has not yet translated into a confirmed strengthening. Daan Crypto Trades stated that a significant break below the weekly 200 moving average may increase the downside risk, and in such a scenario, the 48 thousand to 50 thousand dollar band may stand out as the next major support area.
Kaz, on the other hand, said that Bitcoin reacted from the demand zone around $61,000 and is now turning to the accumulated liquidity between $65,000 and $66,000. According to the analyst, this region is watched as a profit taking area for long positions. However, it was stated that if the internal dynamics of the market do not gain strength, a more cautious approach could be made near 64 thousand dollars.
Kaz evaluated that the price is currently stuck between two strong liquidity areas, and that the range between 65 thousand and 66 thousand dollars above and the range between 58 thousand and 60 thousand dollars below may be decisive.
All eyes on data flow and volatility risk
The liquidity heat map shows that there are notable clusters on both sides of the market. While the range of 65 thousand and 66 thousand dollars stands out in the upward scenario, the region of 58 thousand and 60 thousand dollars below is observed as another important area of attraction.
In the coming period, US inflation data and the June 10 date are among the possible volatility triggers. According to analysts, the market may change direction after moving sharply before major macroeconomic developments. Therefore, despite the recent recovery, the possibility of Bitcoin testing lower supports again before creating a permanent rise is being closely monitored.
