The Bitcoin price has gone through an intense bout of volatility over the past few days, with a violent sell-off that has dragged its price into the $70,000 range. The move wiped out short-term bullish positioning and forced the price below several intraday support levels. Although there are risks of further downside, Bitcoin is now looking to stabilize and push to reclaim important reference levels. A technical outlook suggests that a path back to the $81,000 region could open up faster than expected if certain conditions are met.

Sweep Of The Yearly Low

One of the most important developments on the chart is the sweep of the last yearly candle low around $74,456. That move flushed liquidity resting below prior lows and was a clear downside grab that had been waiting for months. 

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In terms of a market-structure perspective, this type of sweep is a reset point that clears weak hands and allows price to build a more stable base. The bounce that followed pushed Bitcoin back to $77,000, a move that shows buyers were willing to defend the area after the liquidation event. This is now transitioning into a decision zone, which is where the next directional move becomes more important.

As noted by crypto analyst Minga on the social media platform X, Bitcoin went back to testing the weekly open just below $77,000. Holding above it would mean that the recovery has real follow-through, which in turn would allow the price to revisit the monthly open at $78,700. The chart shared by the analyst also shows multiple equal highs stacked above that region, right within the previous range low.

Together, these elements form a pocket of unfinished business. If Bitcoin reclaims and sustains acceptance above the weekly open, the probability of a push through the monthly open increases, with that momentum then potentially carrying price into the $80,000s, where prior range liquidity is around $81,000.

Bitcoin Price Chart. Source: @Mingarithm on X

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Downside Scenario And The Relief Bounce Zone Below

There is a valid alternate path if Bitcoin’s advances continue to reject at the weekly open, which is looking like the case in the current price action. In that case, there is a deeper downside target between $70,800 and $69,100. This area stands out as a high-confluence zone that aligns with a higher-timeframe order block, the 0.5 Fibonacci retracement, and the last cycle’s all-time high in 2021. 

At the time of writing, Bitcoin is trading at $70,930, down by 7.2% in the past 24 hours and is now at risk of losing $70,000. If price holds above this zone after the current test, then Bitcoin is likely to transition into a range before attempting continuation and breaking above $81,000.

Featured image created with Dall.E, chart from Tradingview.com

Crypto analyst Justin Bennett has predicted that the Bitcoin price could retrace to $63,000 following the recent market rally. This prediction comes as the flagship crypto targets a new all-time high (ATH) following a weekly high of around $69,000, its highest level since late July.

Why Bitcoin Price Could Retrace $63,000

Bennett stated in an X post that he wouldn’t be surprised to see BTC wipe out this week’s leveraged buyers with the restest of the month open at around $63,000. He made this statement while highlighting a potential rising wedge developing alongside a bearish divergence. His accompanying chart showed that BTC could drop to around $63,276.

The analyst also noted that this week’s Bitcoin price rally was primarily driven by the perpetual market, which he claimed is not “conducive” for a sustainable breakout, especially with the open interest (OI) near its late July highs.

Crypto analyst CrediBULL Crypto also warned about the spike in open interest and suggested that a price correction was imminent. He noted that the OI has officially surpassed the level it was at before the last BTC price drop from $70,ooo to $49,000.

Like Bennett, CredibBULL Crypto had earlier in the week warned that a price correction was imminent based on his claims that the derivatives market is what is driving the recent market rally. The analyst suggested there could still be a Bitcoin price crash to $50,000 before it surpasses its current ATH of $73,000.

However, amid these bearish predictions, market experts have provided a bullish outlook for BTC. As to short-term targets, Bitwise CIO Matt Hougan predicted that BTC could reach a new ATH before the US election. Standard Chartered also predicted that the flagship crypto will surpass $73,000 before the November 5 US presidential elections.

The Bull Run Is About To Kick Into Full Gear

Crypto analyst CryptoCon indicated in a recent X post that the Bitcoin bull is about to kick into full gear. The analyst also suggested that the Bitcoin price will unlikely retrace to as low as $40,000 again, as some might expect. He also explained that the bull run means new ATHs and a “year of great price action for all crypto.”

CryptoCon is confident that the Bitcoin bull run is almost here because of the Price Oscillator, which he said confirms that BTC has completed all of the local highs of the mid-cycle. In line with this, he reaffirmed that up next is the bull market and the “first and final cycle tops.” His accompanying chart showed that the BTC price could reach a market top of $120,000 sometime next year.

Real Vision’s Chief crypto analyst Jamie Coutts predicted that the Bitcoin price could reach $110,000 between April 2025 and July 2025. He claimed this will happen as the global money supply rises to $500 trillion.

Matt Hougan is also confident that the BTC price will reach six figures. He cited factors like the US election, Spot Bitcoin ETFs, rate cuts, and increased demand for the flagship crypto among whales as what will drive this price surge.

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Boluwatife Adeyemi

Boluwatife Adeyemi is a well-experienced crypto news writer and editor who has covered topics that cut across DeFi, NFTs, smart contracts, and blockchain interoperability, among others. Boluwatife has a knack for simplifying the most technical concepts and making it easy for crypto newbies to understand. Away from writing, He is an avid basketball lover and a part-time degen.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.