BTC: Possible Retracement Following Liquidity Grab

BTC is facing more downside, but this might not come before a series of bull traps. Overwhelming supply predominance within the macro pennant, with isolated demand spikes unable to break trend resistance (upper dotted line). As the price action meanders toward the bear triangle's apex, we see narrowing spread with supply bars steadily building. This means that the MMs are careful to hold range, to give the illusion BTC is not as bearish as it looks. In these scenarios it is not uncommon to see a sudden sign of strength to entice retail traders to buy into a UTAD (upthrust after distribution) before dumping at the supply order blocks waiting above.

**Like making money? Be sure to subscribe for more clean, accurate, easy-to-follow swing charts with high win ratios (80-85% average).

Not financial advice. Always DYOR and trade at your own risk.