Bitcoin May Get Stuck Between Two Prices: This Range Is Prone to Sharp Movements! - Coin Bulletin

Bitcoin (BTC) may get stuck at these levels and exhibit sharp movements due to the liquidity gap between $70K and $80K.

Bitcoin fell below the $75,000 level twice last week, and price movements are becoming increasingly volatile. According to data shared by Glassnode, BTC has entered a relatively weak liquidity zone between $70,000 and $80,000. This zone is referred to by experts as "air pocket" (air pocket) and is considered levels where supply in the market is extremely limited.

Glassnode pointed out an interesting point by examining the historical movements of Bitcoin price. After Donald Trump won the U.S. elections in November, the price of Bitcoin started from 70,000 dollars and quickly surpassed 100,000 dollars. During this process, the price rose rapidly without ever touching the mentioned area. According to past experiences, Bitcoin tends to return to the neglected price areas after rapid increases and show a tendency to consolidate here. This situation increases the importance of the current liquidity gap.

Unspent Transaction Output (UTXO) means unspent transaction outputs, an important indicator that shows the price levels at which Bitcoin holders acquired their coins. According to the URPD (UTXO Realized Price Distribution) graph shared by Glassnode, only 2% of the total Bitcoin supply is currently found in this gap between 70-80 thousand dollars. This situation indicates that the price is more susceptible to sudden movements in this region.

Furthermore, about 25% of the current supply of Bitcoin is currently at a loss. The bulk of this loss is in the portfolios of short-term investors who bought in the last 155 days. This is another indication that there may be more volatility in the price of Bitcoin.