Bitcoin rose to the upper resistance block (106446-107108) on the smaller timeframe. It tested the midpoint of this zone at 106800 and received a seller's reaction.
According to the Smart Money concept, this is a reversal pattern indicating a short situation. It is expected that the price will head towards removing liquidity in the opposite zone, that is, a minimum below 102k. A cascade of liquidity pools has already formed at 101400 and 100700. If this scenario is realized, the only hope for growth will be a test of the weekly imbalance or its midpoint at 99300, as well as the subsequent price reaction.
In the worst-case scenario, if this level is broken, the market may enter a temporary corrective dump and correct most of the recent gains; for Bitcoin, this zone is 86-88k.
However, in my opinion, there is a chance for growth if the price rebounds from the imbalance (103400-104500) on the 4-hour timeframe formed yesterday and today breaks through the same resistance block, establishing a new local maximum. In that case, there is potential for further movement towards establishing an ATH (all-time high). Therefore, we are currently observing the price reaction from 103900. If there is no sharp buyback, we are waiting for a scenario with a test of the weekly imbalance.
Yesterday, the dominance of stablecoins began to decline, which is a positive signal. Meanwhile, Ethereum reacted and grew better than Bitcoin, but it still couldn't establish itself above the 2580 level. Therefore, in the case of a general market decline, it may also go to remove liquidity below 2325.
For a positive scenario, Ethereum needs to close with a daily candle above today's opening, and even better—establish itself above 2590. In that case, the potential for the nearest price movement will be towards 3000.
