Bitcoin is showing signs of potential recovery after hitting a yearly low near $59,000 last week. Market data indicates a positive shift in buyer sentiment, with over $2 billion in short positions concentrated around $65,000. Analysts point to a bullish chart pattern and improving order book metrics as key factors supporting a possible rally toward the $67,000 to $70,000 range.
Bitcoin is attracting buyer interest following its drop to a new yearly low at $59,000. Order book data suggests a rally is pending, with more than $2 billion in short liquidity concentrated near $65,000.
This shift aligns with a bullish chart pattern targeting the $67,000 to $70,000 range. Bitcoin’s recent rebound to $63,500 followed a bullish divergence between its price and the Relative Strength Index on the four-hour chart.
The price is also trading within an ascending triangle pattern. A confirmed breakout may target a daily fair value gap between $67,500 and $70,500.
Data from Hyblock shows the bid-ask ratio remained positive after the low. A positive reading suggests buy-side market orders have slightly outpaced sell-side orders.
Cumulative volume delta data shows smaller cohorts have shown improving buying activity. The largest participants have significantly reduced net selling pressure by $900 million.
Crypto analyst Kripto Holder highlighted a $2.68 billion short-liquidity cluster near $64,600. The analyst said Bitcoin’s ability to hold above $63,000 following renewed conflict in the US-Iran war adds weight to the recovery case.
Market analyst PILTR noted that BTC’s long exposure has gradually increased over five days. The current positioning creates an estimated $4 billion positive imbalance.
Those levels align with analysis from crypto trader Ardi, who argued Bitcoin is still trading within a bear pennant. The analyst identified $64,000 and $66,000 as the two most important levels for the current recovery.
According to Ardi, a move above $64,000 would clear key resistance. Reclaiming the $66,000 area would strengthen the case for a move into the liquidity zone above.
However, PLTR also flagged weekend positioning as a near-term variable. The analyst noted that weekly profit-taking often creates opposing flows into weekends.
