Bitcoin has broken through the 4H imbalance zone that also acted as an old resistance area.
The break came through a clear displacement candle, which showed strong intent from the market. That same move left behind a new gap just under the previous resistance. Although price already retested that area once, it didn’t fully fill the gap, so we could see one more retest to complete the 50% line before the market chooses direction.
Consolidation Structure:
The range before the breakout was clean, with multiple rejections from the resistance zone. That zone was front-run several times, then finally broken with conviction. Now, price is hovering just under that broken level, and the new gap created by the displacement candle is still fresh and technically unfilled.
Below current price, there’s a large inefficiency sitting between 88.2k and 90k. This zone stands out because it’s not only a clean 4H imbalance, but it also aligns with the golden pocket retracement from the last major leg up. That type of confluence usually attracts liquidity, especially if price gets rejected from the gap above and starts moving lower.
Bullish/Bearish Scenarios:
The bullish scenario would play out if price manages to reclaim the gap zone, pushes back above the resistance cleanly, and treats the gap as support. That would be a classic structure flip, where the previous resistance becomes a new base, and the gap gets inverted into a continuation zone. If we see that, the next upside targets would sit around the 96k to 97k area, where more liquidity is likely resting.
On the other hand, if price moves into the gap and gets rejected again, that confirms sellers are still active at that level. In that case, I’d expect the market to push down and start filling the inefficiencies below. The 88.2k to 90k area becomes the primary draw. It’s packed with confluence from the 4H imbalance and the golden pocket, and it also lines up with previous demand zones. If price reaches into that area, it could trigger a strong reaction and potentially form the next higher low.
Price Target and Expectations:
If we see rejection from the current gap, the target shifts to the 88.2k to 90k zone. That’s where I’ll be watching for bullish signs, since it’s the type of level where buyers often step in. A clean reaction there could be the start of a new leg higher. But if the market doesn’t get that low, and instead pushes up through the resistance, then the bullish breakout scenario is active, and we’d be aiming higher toward the 96k range or even the 100k.
Current Stance:
Right now, I’m in reactive mode. The trade will depend on what happens at the gap zone. If we get another rejection from it, I’ll look for a move into the golden pocket below. If we reclaim the gap and break resistance, I’ll be looking to enter on confirmation of the flip. No trade from the middle, only once price gives clear direction from either key level.
Conclusion:
This is a clean two-scenario setup. Either price fills the remaining gap and flips resistance, triggering the bullish continuation, or we reject from that area again and drop into the 88.2k to 90k range for a deeper liquidity grab. Both are valid, and both offer high-probability trades once price confirms the path.
Trade at your own Risk 👍
Best Regards, Trade Cryptocurrency
Stay Tuned for Further Updates.
