After an aggressive bullish rally, Bitcoin has filled a clean 1H imbalance zone near 108K and swept short-term liquidity above recent 1H highs. The move into premium pricing saw clear signs of rejection, with a strong bearish reaction directly inside the imbalance area. This reaction confirms the area as a valid supply zone and signals that bulls may have exhausted their momentum in the short term.
Liquidity Sweep and Rejection
The sweep of prior highs was sharp and quick, lacking follow-through, and was immediately followed by rejection wicks and a drop in momentum. This kind of price action typically hints at engineered liquidity grabs, where smart money drives price into inefficiencies to fill orders before reversing direction. That liquidity sweep, paired with the fill of the 1H FVG, increases the probability that this high is now set in place for a short-term reversal.
Key Short-Term Level to Watch
The immediate level of interest lies at the most recent low before the rally, marked clearly as a potential short-term support. This low often acts as a magnet post-sweep, as price retraces to test if there’s real buyer interest left or not. If this low fails to hold, the bearish momentum could accelerate into the nearby 4H Fair Value Gap around the 102.5K–101.9K area.
Fair Value Gap and Lower Target
That 4H FVG has not yet been filled, and there’s also a small unmitigated imbalance sitting just above it. If price drops into this zone and still fails to show strong buyer interest, the path opens toward a more significant downside move. The final downside target sits near 98K, highlighted by a higher timeframe demand area and major structure level. This zone would only come into play if all intermediate support levels break cleanly.
Bearish Roadmap
Short-term, I expect a retest of the recent low, followed by a possible reaction. But if that reaction fails and momentum stays bearish, the 4H FVG fill becomes highly likely. A break below that would shift control decisively to sellers, with 98K as the next major liquidity pocket to target. This move would also clean out most of the inefficiencies left behind by the recent aggressive bullish move.
Conclusion
The rejection from the 1H imbalance and liquidity sweep suggest Bitcoin’s recent rally may be done for now. Until we reclaim the 1H FVG and break above recent highs with strength, the bias is bearish. If the key low breaks, I’ll be watching how price reacts inside the FVG zone. A weak reaction could open up the flush toward the 98K level for a larger liquidity draw.
___________________________________
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Liquidity Sweep and Rejection
The sweep of prior highs was sharp and quick, lacking follow-through, and was immediately followed by rejection wicks and a drop in momentum. This kind of price action typically hints at engineered liquidity grabs, where smart money drives price into inefficiencies to fill orders before reversing direction. That liquidity sweep, paired with the fill of the 1H FVG, increases the probability that this high is now set in place for a short-term reversal.
Key Short-Term Level to Watch
The immediate level of interest lies at the most recent low before the rally, marked clearly as a potential short-term support. This low often acts as a magnet post-sweep, as price retraces to test if there’s real buyer interest left or not. If this low fails to hold, the bearish momentum could accelerate into the nearby 4H Fair Value Gap around the 102.5K–101.9K area.
Fair Value Gap and Lower Target
That 4H FVG has not yet been filled, and there’s also a small unmitigated imbalance sitting just above it. If price drops into this zone and still fails to show strong buyer interest, the path opens toward a more significant downside move. The final downside target sits near 98K, highlighted by a higher timeframe demand area and major structure level. This zone would only come into play if all intermediate support levels break cleanly.
Bearish Roadmap
Short-term, I expect a retest of the recent low, followed by a possible reaction. But if that reaction fails and momentum stays bearish, the 4H FVG fill becomes highly likely. A break below that would shift control decisively to sellers, with 98K as the next major liquidity pocket to target. This move would also clean out most of the inefficiencies left behind by the recent aggressive bullish move.
Conclusion
The rejection from the 1H imbalance and liquidity sweep suggest Bitcoin’s recent rally may be done for now. Until we reclaim the 1H FVG and break above recent highs with strength, the bias is bearish. If the key low breaks, I’ll be watching how price reacts inside the FVG zone. A weak reaction could open up the flush toward the 98K level for a larger liquidity draw.
___________________________________
Thanks for your support!
If you found this idea helpful or learned something new, drop a like 👍 and leave a comment, I’d love to hear your thoughts! 🚀
𝟔 𝐘𝐄𝐀𝐑𝐒 𝐄𝐗𝐏𝐄𝐑𝐈𝐄𝐍𝐂𝐄𝐃 𝐓𝐑𝐀𝐃𝐄𝐑
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🎁 Free trading Discord community
bit.ly/TehThomas
🥇 My Preferred Exchange - 20% cashback
bit.ly/BloFin20
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
𝟔 𝐘𝐄𝐀𝐑𝐒 𝐄𝐗𝐏𝐄𝐑𝐈𝐄𝐍𝐂𝐄𝐃 𝐓𝐑𝐀𝐃𝐄𝐑
💎 Free Signals
t.me/codeandcandle
🎁 Free trading Discord community
bit.ly/TehThomas
🥇 My Preferred Exchange - 20% cashback
bit.ly/BloFin20
💎 Free Signals
t.me/codeandcandle
🎁 Free trading Discord community
bit.ly/TehThomas
🥇 My Preferred Exchange - 20% cashback
bit.ly/BloFin20
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.