Bitcoin is consolidating near the critical $68,000 support level after a recent decline, with technical indicators showing early signs of stabilization. The Relative Strength Index (RSI) has recovered from oversold conditions, and the Moving Average Convergence Divergence (MACD) histogram is turning positive. Analysts note that a price rebound to approximately $68,731 could trigger around $97 million in short liquidations, making the current zone a pivotal point for Bitcoin’s near-term direction.
Bitcoin is trading at $68,094.34, marking a 3.86% increase over the past 24 hours. The cryptocurrency is consolidating just above a key horizontal support and resistance zone between $67,000 and $70,000.
Momentum indicators suggest a potential shift from recent bearish pressure. The RSI has moved away from oversold levels into the mid-40s, while the MACD histogram is turning positive.
A sustained hold above current support could allow the price to rally toward the $75,000 resistance area. However, a failure to maintain these levels risks a deeper pullback.
According to a recent update on X by Ali Charts, if BTC’s price rebounds to approximately $68,731, around $97 million in short position liquidations would occur. This area represents a significant liquidation pocket where multiple short positions are clustered.
Liquidation pockets often serve as magnets for price during periods of compressed volatility. This creates considerable uncertainty in the market between the $68,731 and $71,000 levels.
As March approaches, Bitcoin’s next move near this crucial support zone is highly significant for its short-term direction. A hold above this level may lead to a rebound, while a loss of support could result in further downside.
