Accumulation Before Expansion or Breakdown Into Liquidity?Hello traders! Here’s a clear technical breakdown of BTCUSD (1H) based on the current chart structure.
Bitcoin previously delivered a strong bullish impulsive move, establishing clear upside momentum and pushing price into premium territory. Following the peak, the market transitioned into a corrective phase, marked by controlled selling pressure and a gradual loss of bullish momentum rather than panic distribution.
The recent decline brought price back toward a key structural support, where selling pressure has noticeably slowed. Current price action is showing compression and stabilization, suggesting the market is deciding between continuation of the broader bullish trend or a deeper corrective leg.
Major Support / Demand Zone:
The 90,700–91,000 area is a strong support zone, where price has repeatedly reacted and volume has increased. This zone also aligns with previous consolidation and acts as a structural pivot for the broader trend.
Liquidity Range Below:
Below current price sits a liquidity-rich zone near 86,900, corresponding to the prior accumulation range. A breakdown into this area would indicate acceptance of lower prices and a shift toward a bearish continuation phase.
Overhead Resistance Levels:
If price holds support, upside targets are layered at:
- 92,200 – first structure resistance
- 93,200 – prior reaction high
- 94,400–94,800 – major liquidity and range high
These levels define the bullish roadmap if support holds.
Currently, BTC is trading directly on top of a strong support level, with price holding above the EMA and failing to extend lower despite prior sell pressure. This behavior often reflects absorption by buyers, rather than aggressive sell-side continuation.
The market is compressing, not accelerating typically a precursor to expansion.
As long as Bitcoin holds above the 90,700–91,000 support zone, the broader bullish structure remains valid. In this case, current price action can be treated as accumulation after correction, with potential for a push toward 92,200, followed by continuation into the 93,200 and 94,400+ resistance zones.
However, a decisive hourly close below support, followed by acceptance, would invalidate the bullish continuation thesis. That scenario would likely send price into the previous accumulation area near 86,900, confirming a deeper corrective or trend transition phase.
For now, support is holding but it must be respected, not anticipated.
