Bitcoin Hits Deep Demand As Liquidity Finally Sweeps The Lows
Alex Smith
5 days ago
Bitcoin has finally swept the sell-side liquidity that had been building beneath the market, driving price into a deep demand zone where stronger buyers are expected to step in. With the downside move now largely complete, attention shifts to whether this level can spark a meaningful reaction or mark the start of a broader reset.
Why The 100-Week SMA Remains A Proven Bitcoin Accumulation Zone
Crypto analyst Brett emphasized that accumulating Bitcoin below the 100-week Simple Moving Average has repeatedly proven to be one of the most reliable long-term investment strategies. According to the expert, this zone has historically marked periods of maximum pessimism, where risk-to-reward strongly favors patient buyers rather than short-term traders.
Brett explained that his personal approach deliberately avoids trying to pinpoint the exact market bottom. Instead, he focuses on steady accumulation by placing buy orders across a wide range between $55,000 and $75,000, supported by daily recurring purchases.
For investors with a more conservative mindset, Brett pointed out that waiting for confirmation can be just as effective. Looking at past cycles, Brett noted that buying after Bitcoin moves back above the 100-week SMA has consistently delivered strong returns. He stressed that BTC has never fallen below the previous cycleâs 100-week SMA, reinforcing its importance as a structural support level. Those who followed this strategy in prior market cycles are now sitting on significant long-term profits.
Breakdown Confirmed As Key Lows Failed To Hold
According to the latest BTC Heatmap update by Columbus, the market has followed the exact trajectory previously mapped out. Columbus notes that the inability of the local lows to hold, combined with weak reactions on the tape, signaled that the liquidity stacked below would act as a magnet. Consequently, the continuation leg played out as an inevitable result of this structural weakness.
In his analysis of the current price action, Columbus highlights that Bitcoin is now trading directly within a cluster of heavier bids located around the low-$70,000 region. The analyst identifies this specific zone as the first area where a âreal reactionâ is likely to occur, as it represents a significant concentration of buy-side interest. For Columbus, the sweep into these deeper pockets was the necessary clearing event to reach this primary demand zone.
Columbus concludes that since the anticipated downside has fully played out, the focus now shifts entirely to the immediate response from buyers. With the liquidity targets hit and the price sitting on heavy support, Columbus is now closely watching for a definitive reaction to determine if this level will provide the foundation for the next leg of the trend.
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