James Wynn expects a black swan event to shake markets, prompting panic selling and smart money accumulation ahead of liquidity injections.
Bitcoin trades in a tight range between $100K and $110K, with strong support at $96K and a breakout likely as volatility builds.
BTC’s bullish structure remains intact with higher lows and strong demand zones, while macroeconomic shifts could trigger a major move.
Bitcoin may face high volatility as macro and technical signals align ahead of a potential black swan event. James Wynn, a market strategist, warns of a looming global shock that could mirror COVID-era fear. He believes financial markets will react with panic. However, Wynn sees this fear as an opportunity. According to him, smart money will buy the dip, anticipating liquidity injections, rate cuts, and fresh monetary easing.
Besides liquidating many of his altcoin holdings, Wynn has hedged his long positions. He plans to deploy full capital if panic sets in. He maintains this event won't derail crypto's trajectory. Instead, it will trigger a change of hands among investors. As such, Wynn encourages traders to prepare and act swiftly when the market reacts.
Meanwhile, Bitcoin is showing signs of compression within a consolidation zone. Analyst CryptoMalfoy notes that BTC remains coiled between $100,000 and $110,000. However, price action shows pressure building toward a breakout. BTC has rejected the $110,000 resistance level multiple times. Upper wicks on weekly candles confirm seller strength at this level.
Key Technical Zones Shaping Price Action
BTC currently trades around $105,000, having recently bounced from support near $96,000. This zone aligns with a weekly Fair Value Gap (FVG). It remains a critical short-term level. Another stronger demand area lies below, between $72,000 and $78,000. This lower FVG served as the launchpad for Bitcoin's prior rally.
Source: MALFOY
The market structure is still optimistic. Since October 2024, higher highs and higher lows have developed. As a result, the bulls continue to benefit from momentum. However, in order to confirm another move higher, Bitcoin needs to break above $110,000.
Outlook Hinges on Breakout Direction
Two potential scenarios could unfold soon. A break above $110,000 would likely fuel further gains. Besides that, a rejection could push BTC toward the $76,000 support. Either way, volatility appears imminent. Bitcoin's consolidation is nearing its end.
Moreover, traders now monitor macroeconomic cues, including M2 money supply and geopolitical developments. Liquidity remains the key catalyst. Hence, any monetary pivot could drive BTC’s next move. The current range-bound behavior reflects accumulation rather than distribution.
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