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Cryptocurrency analyst Zen has issued a critical assessment of the various scenarios expected for the Bitcoin price in July. There is no doubt that Bitcoin’s price performance in June has left a mark Many investors are disappointedThis is because cryptocurrency It was actually trading lower. Over the course of the month, it even dipped below $60,000 at one point. While the unfavorable price action continues, crypto analyst Zen pointed to some key liquidity pools that could determine Bitcoin’s direction. Result in July And the next few months in the fall.
Analyst Highlights Potential Liquidity Pools for Bitcoin
As mentioned earlier, the recent price drop saw Bitcoin fall below $60,000 earlier in the week. Notably, Zain noted that this drop represented net liquidity below $60,630, which is in line with his previous price analysis. Although Bitcoin has since recovered to above $60,600, Zain noted that the low liquidity suggests another risk of Bitcoin falling to $60,150 in the near term.
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Additionally, the analyst pointed to a number of other liquidity price points that could be used to assess momentum in July. It is interesting to note that these liquidity points ultimately act as support and resistance zones. In the event of a continued decline, Zen’s analysis points to liquidity pools at $60,260, $59,440, $58,990, and $56,850. Massive trades by major holders at these points could lead to significant price movements. Clearing these pools could spell trouble for investor sentiment, which could ultimately lead to Bitcoin dropping to $53,000.
“Will the number drop to ~53k at some point? That move makes sense in a month’s timeframe, but it doesn’t have to happen,” Zen said. On the upside, Zen noted that liquidity pools are at $61,540, $62,540, $63,260, and $64,920.
📉 #Bitcoin Daily 📈
Bitcoin liquidity has crossed above the second liquidity pool at 62440 ✅ Rejected by VWAP VAL development for the quarter. Now the price is likely to move towards the 60650-60150 area. The rest depends on the price action there.
The status quo remains and requires… pic.twitter.com/LFiiN9fDH
— Zain (@WiseAnalyze) June 26, 2024
Furthermore, Zinn noted that Bitcoin is currently depicting contradictory scenarios across different time frames. On the daily chart, it is clear that Bitcoin is in a downtrend. Every bounce is sold, indicating that Bears have control. Of short-term momentum. On the other hand, the weekly time frame of the candle highlights how Bitcoin is effectively stuck in a volatile sideways range at the moment.
Every rise fades, but every decline also attracts buying and accumulation interest. Finally, despite the recent price decline, Zen analysis indicates that uptrend is still intact On the monthly time frame of the candle.
What to expect from BTC price
At the time of writing, Bitcoin is trading at $60,765. According to Zen, a weekly close above $60,622 will increase the chances of Bitcoin price rising in July. On the other hand, a close below $59,600 will maintain the bearish momentum.
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Bitcoin has a good track record in its seventh month. In most cases, July is the seventh month. Recorded green candles For Bitcoin, this historical trend could lead to a potential rally in Bitcoin, especially if bulls are able to break through the liquidity levels on the upside.
Featured image created with Dall.E, chart from Tradingview.com
