Bitcoin price charts to watch after record $5.39B Liquidation

The key takeaways:

• Bitcoin’s overall uptrend, and data from the blockchain suggest that market growth is continuing.

• Strong dip-buying by “sharks,” The key trends that support the BTC recovery are:

BitcoinBTC() tried to recover one day after the traders had witnessed the biggest single-day wipeout In 24 hours alone, leveraged positions worth $5.39 billion were liquidated, twice as much as any other time in history. “COVID-19 crash” In 2020,

BTC price has recovered by 8.50% since Saturday after hitting its low local of around $103,000. As of the writing of this article, BTC is still down by 11% compared to its previous record high, which was $126,300.

Bitcoin’s recovery can it be extended further? The three charts below indicate that the technical environment is favorable for an upcoming rally.

Bitcoins continue to rise despite $5.39 Billion wipeout

Bitcoin’s most recent correction looks dramatic when viewed in a shorter time frame, but if you zoom out it turns out to be milder than many previous pullbacks.

On the weekly chart, BTC has dropped less than 10% so far, notably less than the 14–15% dips seen in March 2025 and July 2024, both of which were followed by strong rebounds.

Bitcoin’s rising price has not departed from its ascending structure, which is a bullish pattern that guided the uptrend of bitcoin since its inception.

The buyers have been active each time BTC tests the lower border of this channel. This has triggered new rallies to the upper area.

According to analysts, the key level is now near the 20-week MA (moving average) of $111,000 Michaël van de Poppe.

Bitcoin’s holding above the MA 20-week support may mark the final phase of capitulation, similar to that seen in the COVID-19 crash You can also read about the FTX bottom.

The next BTC trend would begin then, with the aforementioned upcoming uptrend. $140,000-150,000 target for year’s end.

BTC sharks purchase the dip

Many smaller investors were forced to leave the market during Friday’s $5.39 billion liquidation, but medium-sized traders, or holders of shares worth between $1 and $10 million, were also affected. “sharks,” Purchase the dip quickly.

Shark Net Position Change has reached its highest levels since September 2012 at 190 296. Glassnode data.

The Bitcoin supply owned by this cohort of investors has also grown at an exponential rate in 2025. It reached a record high last Friday, despite the drop in price. It is possible that more experienced investors are less concerned about the price drop.

Related: Bitcoin slump may rebound up to 21% in 7 days if history repeats: Economist

If this wave of purchases by larger companies continues, it could pave the way for Bitcoin to make its next major recovery.

Bitcoin Bollinger Bands still “squeezing”

According to chartists, Bitcoin’s correction on Friday could have been a cooling down in the middle of its cycle rather than a sign that a bear market is about to begin. The Great Mattsby.

The previous Bitcoin bull runs ended just after their monthly Bollinger BandsChart below shows that, an indicator of volatility, was fully expanded.

When market movements increase, these bands expand and shrink.

Bitcoin’s peak was reached in previous bull cycles including 2013, 2018 and 2021 when the monthly bands were far apart. This signaled a high level of volatility.

At the moment, they are narrowing. “squeezing,” History suggests that this could be the beginning of a new price rally.

Mattsby, The Great said

As a guide, bear markets do not start when monthly Bollinger Bands still squeezing. The bear markets start when the Bollinger Bands are still squeezing.

This article contains no investment recommendations or advice. Risk is inherent in every investment decision and trade. The reader should always do research prior to making a final decision.