BTC Reversal or buying trap, You will never get trapped if you know this
Planning BTCâs Next Move from here:
Todayâs sell-off wasnât random, it had warning signs that can change the market behaviour.
First, the market grabbed ATH liquidity and formed an upthrust with low demand. Buying pressure was getting absorbed while selling pressure kept pushing, a clear early alert to be cautious.
Second, the H4 chart showed divergence, less buying momentum building up.
If BTC reverses from here like 117500, how do we know itâs not just a trap?
The drop we saw was impulsive, not corrective, thatâs why you can't consider it only a liquidity grab or sharp long liquidations event in a bull market.
It also came with volume, and yes, longs got liquidated but thatâs another story.
If price now starts climbing, hereâs what to watch:
Impulsive up moves followed by corrective pullbacks would suggest a genuine shift, with lower timeframes flipping structure bullish first.
But if the recovery is corrective instead of impulsive and market keeps on exhaustion PA and rejecting from OB of H1 than, caution is key, weakness might still be in play.
Trade the structure, not the hype.
$BTC
Todayâs sell-off wasnât random, it had warning signs that can change the market behaviour.
First, the market grabbed ATH liquidity and formed an upthrust with low demand. Buying pressure was getting absorbed while selling pressure kept pushing, a clear early alert to be cautious.
Second, the H4 chart showed divergence, less buying momentum building up.
If BTC reverses from here like 117500, how do we know itâs not just a trap?
The drop we saw was impulsive, not corrective, thatâs why you can't consider it only a liquidity grab or sharp long liquidations event in a bull market.
It also came with volume, and yes, longs got liquidated but thatâs another story.
If price now starts climbing, hereâs what to watch:
Impulsive up moves followed by corrective pullbacks would suggest a genuine shift, with lower timeframes flipping structure bullish first.
But if the recovery is corrective instead of impulsive and market keeps on exhaustion PA and rejecting from OB of H1 than, caution is key, weakness might still be in play.
Trade the structure, not the hype.
$BTC
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