Two days ago, I mapped out the scenario after Bitcoin flushed from $97K down to the $60K region.
The plan was simple: let the panic exhaust itself, wait for price to tap into the 65–66K demand pocket, and position there.
The limit at $66K has now been filled.
Here’s what has changed and what hasn’t.
The Context: This Was a Liquidity Event
The move from $97K → $60K wasn’t random volatility. It was a structural unwind:
Multi-month leverage buildup
Compressed volatility
Key HTF levels breaking
Forced liquidations accelerating downside
When price cascades that aggressively, it usually overshoots fair value and tags liquidity pools below obvious supports. That’s exactly what happened into the 65–66K zone.
This region aligns with:
Prior consolidation base
Visible liquidity cluster
Short-term exhaustion move
First meaningful reaction demand since breakdown
That’s why bids were staged there.
Current Structure: Compression After Impulse
Right now, BTC is no longer in freefall.
Instead, we’re seeing:
Smaller-bodied candles
Slowing downside momentum
Local range development above 64K
Early absorption behavior
This is what stabilization looks like after a vertical move.
But stabilization ≠ reversal.
The market is deciding whether this becomes:
A relief rally within a broader correction
The base for a rotation back toward prior breakdown levels
The Real Test: 80–83K Supply
Nothing structurally changes until Bitcoin reclaims the 80–83K zone.
That area is:
Former support
Now fresh supply
Breakdown origin
Psychological reclaim level
If BTC pushes into that region and gets rejected aggressively, then this entire move becomes a textbook lower high in a developing corrective phase.
If, however, price:
Accepts above 80K
Builds volume
Holds above reclaimed support
Then the narrative shifts from “relief rally” to “structural reset completed.”
Risk Management & Invalidation
The reason for entering 66K wasn’t hope it was asymmetric positioning.
Invalidation remains clear:
Sustained acceptance below the 64K sweep zone opens the door for deeper downside expansion.
As long as price holds above that liquidity grab, the probability favors a rotational bounce before any further expansion.
What This Is Not
This is not blind bottom calling. This is not emotional dip buying.
This is positioning at exhaustion after a 35–40% drawdown into a predefined demand zone with a defined risk model.
There’s a difference.
Bigger Picture
After aggressive deleveraging events:
First move = liquidation cascade
Second move = reflexive bounce
Third move = real direction decision
We are transitioning between phase one and phase two.
The market doesn’t reward certainty right now.
It rewards discipline.
Bitcoin just had one of the sharpest resets of the cycle.
The $66K fill was execution.
Now the market decides whether it was a bounce entry or the start of a larger structural rebuild.
Next key objective: 80–83K reaction.
That’s where the real verdict will be printed.