$BTC The market has surged after sweeping the lower-side liquidity and is now trading above $100,000. At this point, two possible scenarios could unfold:
1. Bull Trap Scenario:
$BTC This could be a classic bull trap designed to lure in long positions before a further move down. After this short-term pump, the market may reverse, catching over-leveraged traders off guard.
2. Recovery Scenario:
$BTC Alternatively, the market might be attempting to recover from the recent downturn caused by geopolitical tensions, such as the impact of war. However, the probability of the first scenario playing out appears to be higher at this stage.
Right now, the market is showing no clear direction. Expect some fakeouts and choppy price action intended to shake out both longs and shorts. A major catalyst—whether positive or negative—will likely be needed to define the next true move.
Strategy Advice:
In such uncertain conditions, it’s wise to use smaller position sizes and avoid overtrading. As mentioned earlier, this can be a good time to accumulate on spot for the long term—but stay alert and don’t fall for traps.
