Analysis of liquidity and critical resistance for $BTC above 110K
$BTC opens above the 110,000 level
This momentum is not random but driven by a double-source liquidity injection, yet it faces a real wall threatening its continuity.
The upward movement is due to Asian money
As the continuous expansion of the Chinese M2 money supply at a rate of 0.87% monthly injects massive liquidity searching for its destination, confirmed by positive inflows to ETF funds in Hong Kong.
In parallel,
the American traded BTC funds recorded inflows of $20 million, reflecting renewed institutional confidence, especially with BTC's dominance rising over alternative currencies.
However, the momentum faces a tough test. The data reveal significant selling pressure and massive hedging, with options selling concentrated in the pivotal range between 109,000 and 115,000. This critical resistance is difficult to breach unless inflows multiply significantly. Additionally, the exit of retail investors, as retail traders sold approximately $48 million today, and the absence of their purchasing power leaves the market vulnerable to weekend volatility. This rise may be merely a precursor to a consolidation phase according to the STH_NUPL indicator, rather than a clear breakout.
In summary, institutional momentum is buying, but the pressure from 115k options and retail exits threatens the rise.
My question to everyone is: Do you think BTC will break the 115,000 barrier and truly launch, or is this rise merely a distribution trap before a significant retreat?