Bitcoin fell below $66,500 on Friday, nearing its lowest price since early March. The drop came amid reports that Iran closed the key Strait of Hormuz oil route, raising geopolitical tensions and impacting broader markets. Analysts noted the move targeted a ladder of bid liquidity below the current price, continuing a week of similar market behavior. Several traders highlighted a developing bearish chart pattern that could signal further downside pressure in the coming period.
Bitcoin price action slipped below $66,500 ahead of Friday’s Wall Street open, reacting to fresh oil-supply threats. U.S. stocks futures trended down and U.S. WTI crude oil approached $97 per barrel as geopolitical tensions persisted.
Data from CoinGlass showed BTC/USD eating into bid liquidity extending down to $65,000. A wall of asks was keeping price pinned below the $70,000 mark.
Trader Jelle wrote that “$70-71k confirmed as resistance again.” “Still a bunch of liquidity built up below, generally not what you see at market bottoms. Expecting that liquidity to be taken out; sooner or later.”
Crypto trader Michaël Van de Poppe said he would not be surprised about further BTC price weakness into the March monthly close. “In that case, I remain to be interested to be buying in the lower $60K regions,” he told followers.
On longer time frames, market participants focused on a potential bearish support breakdown from Bitcoin’s second bear flag of the year. Veteran trader Peter Brandt had previously warned that “Bitcoin setting up for a rising wedge sell signal.”
Trader and educator Aaron Dishner continued the bearish tone in an X update. “The measured target from the January 14th high to the February 6th low, applied to the current flag structure, puts the downside at $41K,” he commented.
