Bitcoin BTC/USD is currently hovering around the $11,800 price point, leading to increased wariness among investors due to the weakening of critical support levels.
The absence of significant upward price movement is causing many traders to close their buy positions and anticipate a more substantial price pullback before considering re-entry into the market.
What Happened: On Wednesday, CrediBULL Crypto announced that he had closed his Bitcoin long positions after both the blue support area and immediate buying interest were compromised.
Although a full price collapse hasn’t occurred, repeated failures to maintain those support levels prompted him to adjust his stop-loss orders and temporarily withdraw from the market.
A short-lived recovery followed the clearing of liquidity, but persistent selling pressure is limiting price increases, mirroring the behavior seen at the previous two peaks.
In a message posted earlier, CrediBULL Crypto described the current zone as a crucial “make-or-break” level.
He cautioned traders that if Bitcoin loses this zone, they should be prepared for a potential liquidity cascade below the $11,500 threshold.
However, he emphasized that the overall longer-term positive trend remains intact even if that happens, urging traders not to react emotionally.
Also Read: ‘I’d Rather Have An iPhone Than A Landline’, Says Ether Machine CEO About Why He Doesn’t Own Bitcoin
What’s Next: Another crypto analyst, Astronomer, reiterated the expectation of further price stabilization.
After Bitcoin reached the “silver pocket,” a significant target area for highly leveraged buy positions, he now anticipates the price will trade within a range before its next move.
Ideally, a dip below $11,400 would create an attractive opportunity to re-establish long positions.
Astronomer also warned that this stage of the market tends to generate excessive optimism, particularly in Ethereum ETH/USD, which historically catches up after Bitcoin hits the silver pocket.
ETH has already reached the predicted $3,600 level, and attention is now focused on the $4,000 target.
He forecasts that the current trading range will likely resolve itself by the end of the week, possibly with a rapid price shakeout followed by a rebound, consistent with the 10-week bullish signal that remains active for another four weeks. His key takeaway is: “Patience is Key.”
Read Next:
Image: Shutterstock