Bitcoin has experienced a disappointing performance in terms of price throughout the month of June, with the cryptocurrency dipping below $60,000 at one point. Crypto analyst Zen has highlighted several liquidity pools that may impact Bitcoin’s price movements in July and the coming months. Zen observed that the recent breakdown below $60,000 indicated cleared liquidity under $60,630, suggesting a potential risk for Bitcoin to fall back to $60,150 in the short term. Other liquidity price points mentioned by Zen include $60,260, $59,440, $58,990, and $56,850, which could serve as both support and resistance areas.
According to Zen, major holders making large transactions at these liquidity points could lead to significant price movements. Failure to clear these pools could potentially cause Bitcoin to dip to $53,000, affecting investor sentiment. On the upside, Zen identified liquidity pools at $61,540, $62,540, $63,260, and $64,920, which could support a price upswing. The analyst also noted contrasting scenarios for Bitcoin across different timeframes, with the cryptocurrency currently in a downtrend on the daily chart, but maintaining an uptrend on the monthly candle timeframe.
As Bitcoin is currently trading at $60,765, Zen suggests that a weekly close above $60,622 could increase the chances of a price upswing in July. Conversely, a closure below $59,600 would maintain bearish momentum. Historically, July has seen positive price movements for Bitcoin, with the month typically registering green candles. This historical trend, combined with the potential for bulls to surpass liquidity levels on the upside, could pave the way for Bitcoin to experience upward price momentum in July.
In conclusion, while Bitcoin’s price performance in June left many investors disappointed, Zen’s assessment of potential liquidity pools and price points in July provides valuable insight into possible future price movements. By analyzing the impact of major holders and historical trends on Bitcoin’s price, investors can make informed decisions and prepare for potential price fluctuations in the coming months. It is important to monitor Bitcoin’s price action and key levels closely to capitalize on opportunities and manage risks effectively in the volatile cryptocurrency market.
