Crypto: Bitcoin’s Consolidation Nears ‘turning Point’ As $70k Comes In...

Bitcoin’s sideways price action begins to narrow as a key trading metric hints that a decisive breakout is pending. Will bulls finally overcome the $70,000 resistance zone?

Bitcoin (BTC) trades in a tight $65,000–$70,000 range on Wednesday, a structure that has held for the past two weeks.

The lower time frames show a bullish divergence, signaling fading short-term selling pressure, while futures data indicate fresh long positions opened from $66,000.

Analysts say the compression may precede a breakout attempt, with liquidity clusters below $66,000 and above $71,000 being the zones that may define the next directional move.

On the one-hour chart, Bitcoin is forming a descending channel similar to last week’s structure that preceded a move toward $70,000. Within this channel, a clear bullish divergence has developed in the relative strength index indicator (RSI).

A bullish divergence occurs when the price makes lower lows or equal lows while the RSI prints higher lows. This sequence suggests that selling pressure is losing strength on the shorter time frame.

A sustained break above $68,000 may confirm momentum, leading to a price rally toward the external liquidity and resistance level above $71,500.

The invalidation level sits below $66,000, where internal liquidity is present near the $65,000. A breakdown beneath that region invalidates the divergence setup and shifts focus to the higher-time-frame support range between $62,000 and $60,000.

Derivatives data shows aggregated open interest has climbed 3% to $15.50 billion from $15.10 billion over the past two days, even as the price drifted lower.

The aggregated funding rate has ticked higher to 0.046%, suggesting a growing long exposure from futures traders.

Source: CoinTelegraph