In this analysis, you will find a clear scenario for a potential short setup with precise conditions for confirmation and invalidation. No fluff or guesswork—only institutional analysis of capital footprints and pure price action. I will provide updates for every stage of price interaction with the POI in near real-time, so you can make timely trading decisions, not just observe events after the fact.
Context: What Happened Before?
Bitcoin has perfectly played out Scenario 2 from my previous long analysis. After the liquidity sweep below, which confirmed that the instrument is locked in a large global range, it began an aggressive, correction-less rally. This is often the case after absorbing a large amount of liquidity, which essentially became the fuel for this rise.
The Short Setup
To break out of the range to the upside (or at least make a deviation above it), Bitcoin must overcome the first serious resistance zone. This zone consists of:
My plan is to look for a short position if we see a reversal reaction from this zone after the liquidity is taken. The minimum target for this move would be the lower boundary of the range and the daily order block located there. This local move inside the range can be seen as a shorting opportunity.
Invalidation of the Short Scenario:
A break of the 78.6% level with the price closing firmly above it would cancel the short scenario. In that case, Bitcoin would likely continue its move towards the next resistance level.
Context: What Happened Before?
Bitcoin has perfectly played out Scenario 2 from my previous long analysis. After the liquidity sweep below, which confirmed that the instrument is locked in a large global range, it began an aggressive, correction-less rally. This is often the case after absorbing a large amount of liquidity, which essentially became the fuel for this rise.
The Short Setup
To break out of the range to the upside (or at least make a deviation above it), Bitcoin must overcome the first serious resistance zone. This zone consists of:
- The 78.6% Fibonacci level from the daily structure.
- Liquidity from the Previous Week's High (PWH).
My plan is to look for a short position if we see a reversal reaction from this zone after the liquidity is taken. The minimum target for this move would be the lower boundary of the range and the daily order block located there. This local move inside the range can be seen as a shorting opportunity.
Invalidation of the Short Scenario:
A break of the 78.6% level with the price closing firmly above it would cancel the short scenario. In that case, Bitcoin would likely continue its move towards the next resistance level.
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.
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.