Bitcoin Bulls Charge From Prime Accumulation Zone: 2 Make-or-Break Scenarios This Week
Bitcoin's bulls are licking their chops as price action enters a textbook accumulation zone. Here's what could unfold next.
The Setup: BTC's recent dip has created what traders call an 'ideal long zone'—a sweet spot where institutions and whales start stacking sats. Now the question is whether retail will follow suit or get left holding bags.
Scenario 1: The Rocket Ride A clean breakout above key resistance could trigger algorithmic buying and FOMO inflows. Targets? Look toward previous ATHs as liquidity pools get tapped.
Scenario 2: The Bull Trap Failed momentum here would confirm what cynics whisper at hedge fund cocktail parties—that crypto markets still move faster than most investors' risk management. Stop hunts could liquidate overleveraged longs before the real move begins.
Either way, volatility's coming. And somewhere in Greenwich, a quant just adjusted their algo to front-run both outcomes.
Bitcoin Sees Bounce From Key Demand Zone, But What’s Next?
In an X post on July 26, KillaXBT provides an in-depth technical analysis of the bitcoin market to map out the asset’s potential price trajectory in this new week. The popular market expert duly notes that Bitcoin experienced a price bounce after dipping into a key demand zone around $115,000, which they also described as an ideal long entry region.
As earlier stated, the crypto market leader has since climbed to $118,000 following this price rebound. However, KillaXBT notes there is an established CME Gap around $117,071, which is likely to serve as a price magnet in the short term. For context, CME gaps are price gaps on the Chicago Mercantile Exchange (CME) Bitcoin futures chart that occur when Bitcoin’s price moves significantly on the spot market when CME markets are closed, typically over the weekend.
In view of next week, KillaXBT explains scenario 1 in which the Bitcoin market opens on a bullish note. In this case, the analyst states investors should expect Bitcoin to eventually form a higher low, ideally through a sweep of liquidity around the $116,000 area. However, if Bitcoin bulls can effectively hold this price pocket, it WOULD trigger fresh long setups with stop losses tucked below the prior week’s low.
In scenario 2, KillaXBT paints a more aggressive situation in which Bitcoin performs a double sweep of last week’s wick low around $114,800, thereby effecting a ruthless liquidity grab before an upward reversal. However, the market expert favours the reality of scenario 1, following the earlier liquidity grab with the price dip to $115,000.
The Invalidation Risk
Regardless of which scenario, KillaXBT has highlighted certain developments that could neutralize the prospects of a bullish reversal. In particular, the analyst explains that failure for the price to hold above the recent wick lows following a retest would force Bitcoin prices to deeper imbalance zones between $112,000 – $113,800.
At the time of writing, Bitcoin trades at $117,900, reflecting a 0.21% gain in the last seven days.
