Crypto analyst LP has asserted that Bitcoin has yet to establish a genuine bottom formation, even though the price appears to be creating robust support at its current levels. This statement comes as $BTC aims to regain the significant $70,000 mark amidst discussions of a potential ceasefire between the U.S. and Iran.
The Risk for Bitcoin Persists as True Bottom Remains Elusive
In a recent post on X, LP expressed that Bitcoin is still far from demonstrating an authentic bottoming pattern. He referenced previous bear markets where bottoms were established only after multiple dips forced capitulation before $BTC could initiate a recovery.
The analyst pointed out that this situation is different; Bitcoin has been consistently reaching new highs, complicating short position entries while leaving lower levels vulnerable and accumulating liquidity beneath them. He suggested it’s likely just a matter of time before prices target these lower wicks, which could lead to an actual bottoming phase ahead of the upcoming bull market.
LP emphasized that when this breakdown eventually occurs, market participants should closely monitor price movements. He indicated that true bottoms are typically formed when prices repeatedly dip low enough to make entering long positions psychologically challenging. Notably, since hitting lows on February 6th, Bitcoin has been in recovery mode without establishing any new lows.
This recovery comes during ongoing tensions related to the U.S.-Iran conflict; however, Bitcoin remains resilient above critical support zones despite rising geopolitical concerns. Currently,$BTC is attempting to reclaim the psychological threshold of $70,000 following reports suggesting negotiations for a 45-day ceasefire between both nations.
A Drop Towards $63,000 Still Possible
In another update via X post, LP mentioned it’s merely a question of time before we see movement towards the $63,000 level again. He observed that prices are currently trapped within ranges and will continue oscillating between extremes; nevertheless, he believes there’s clarity regarding targets moving forward. Thus he advised traders to consider entering positions at range extremes: “Even with an overall bearish bias in higher time frames (HTF), 63–62K presents itself as an excellent area for hedge longs against shorts initiated around 73K,” he noted.
Diving into shorter time frames analysis,, LP remarked on how high-leverage short clusters have been eliminated while larger clusters persist overhead up until approximately $75k level . On the downside , he indicated long liquidation clusters are forming near $66k , contributing additional liquidity below . Overall , liquidity seems more concentrated upward ; however if price continues within its range both sides may get cleared eventually .
As per CoinMarketCap data at press time , bitcoin trades close around$69 ,100 reflecting over3% gain over past24 hours .