- Analyst Ali sees a potential rebound to $115K–$123K if Bitcoin defends the $107,200–$107,400 zone.
- Ted notes liquidity clusters at $108K and $114K, suggesting a downside sweep before recovery.
- A 1.26% rise could liquidate $3B in shorts, increasing chances of a sharp counter move if support holds.
Bitcoin entered a key test near $107,400 after a sharp retracement from levels above $116,000. The latest dip erased recent gains in less than 48 hours, bringing price back to an area that has acted as a launchpad multiple times in previous cycles.
According to analyst Ali, Bitcoin defending the $107,200–$107,400 zone could open the door for a sharp recovery toward $115,000 and even $123,000. The region now functions as a technical decision point, with buyers and sellers battling for short-term dominance.
Key Liquidity Zones
Analyst Ted identified two major liquidity pools, one at $108,000 and another at $114,000. He suggested that Bitcoin may sweep downside liquidity first before attempting any recovery.
His data also pointed out that a 1.26% move higher would be enough to liquidate $3 billion worth of short positions. This setup creates a scenario where aggressive selling could be met with equally aggressive short covering if price rebounds sharply.
Recovery Depends on Support Defense
Ali outlined an upside pathway if buyers hold the current support. The first resistance appears at $115,000, followed by $118,000, before confronting a larger ceiling between $122,000 and $124,000.
The market may first consolidate near current levels before attempting a climb toward $111,800–$113,000. Notably, the candlestick structure shows heightened volatility, with strong bearish momentum still present. However, the fast decline also increases the probability of a technical whiplash move if support withstands continuous pressure.
Dip Still Possible
Failure to maintain footing above $107,400 would expose lower targets around $105,400 and potentially $103,650. Such a breakdown would confirm a rejection of the current range and shift liquidity flow toward deeper bids.
Yet the proximity of both downside liquidity and short liquidation levels creates a compressed zone where fast swings may occur. Each move within this band carries the potential to trigger automated positioning, raising the likelihood of sudden momentum flips in either direction.
