Main Points :
- A growing liquidity cluster is forming beneath $98,000, drawing strong downside attention.
- Bitcoin has retested the $102,000–$100,000 support four times, signaling structural weakening.
- Despite rising technical risks, futures traders remain heavily long, increasing the chance of a downside liquidity sweep.
Introduction: A Market at a Turning Point
Bitcoin’s recent price action has triggered renewed debate among investors searching for the next major opportunity in digital assets. After falling to $100,700, Bitcoin has been unable to regain momentum, recording a 3.5% weekly decline. The more concerning factor, however, is the distribution behavior of long-term holders—over 815,000 BTC have been sold in the past 30 days, loosening the market’s structural support.
For investors seeking new crypto assets, yield opportunities, or practical blockchain applications, Bitcoin’s current behavior offers valuable insight into market-wide liquidity dynamics and risk cycles. This article blends detailed summary, fresh market context from other sources, and expert-level analysis.Chart Insert ① – Bitcoin Price Trend
1. Liquidity Compression Points Toward a Sweep of the $98,000 Zone
Liquidity analysts highlight a growing imbalance between support and resistance zones. According to trader Daan Crypto, a “significant liquidity cluster exists beneath $98,000–$100,000,” aligned with a series of slightly higher lows that reflect weakening market strength.
This liquidity cluster represents a concentration of stop-losses, leveraged long positions, and liquidation points—creating a gravitational pull. Once price approaches these zones, volatility increases dramatically as algorithms and institutional desks aggressively hunt liquidity.
Why This Matters for Investors
- Markets often move toward liquidity, not away from it.
- A final sweep into the $98k region could create a high-reward re-entry zone for sophisticated traders.
- For investors looking for new crypto opportunities, liquidity-driven volatility often leads to capital rotation into emerging assets.
2. Key Resistance Levels and the Potential for a Violent Squeeze
Daan Crypto also notes two important upside levels at $108,000 and $112,000, but emphasizes that only the former is currently structurally relevant. A decisive break above either band may trigger an aggressive short squeeze.
Meanwhile, futures analyst Byzantine General echoes a bearish short-term bias, suggesting Bitcoin is “likely to target the $98,000 lows before any significant bullish move.”
External Market Context (Recent Developments)
Recent data from multiple exchanges indicates:
- Open interest continues rising, amplifying liquidation cascades.
- Funding rates remain positive, showing excessive long bias.
- Exchange-traded inflows into BTC ETPs have slowed, signaling risk-off positioning.
These factors intensify the probability of a downward liquidity sweep.Chart Insert ② – Liquidation Heatmap
3. Supporting Evidence: A $1.3 Billion Liquidation Cluster at $98,000
CoinGlass data shows that almost $1.3 billion in long liquidations is stacked around the $98k region—a dramatic increase from the previous week. When these liquidation pockets grow, markets often gravitate toward them to remove excess leverage.
Implications for Traders Seeking Income Opportunities
- The larger the liquidation pool, the higher the probability of a forced cascade.
- Short-term volatility traders may find high-return setups around liquidation pockets.
- Risk-averse investors may wait for structural confirmation after liquidity is cleared.
4. Four Retests of the $100k Support: A Structural Red Flag
Bitcoin has now tested the $102,000–$100,000 support zone four times since May 2025.
Repeated retests of the same support typically indicate weakening demand, as each bounce absorbs buy-side liquidity.
UBCrypto interprets the recent price action as a failed breakout, suggesting the market is not at a level worth buying until it shows renewed structural strength—even if that means re-entering at higher prices later.
Why Structural Weakness Matters
- Major support levels rarely survive multiple rapid retests.
- Long-term holders selling over 815,000 BTC provides additional supply pressure.
- Market cycles often transition from distribution → liquidity sweep → accumulation.
5. Futures Market Still Aggressively Long: A Contradictory Signal
According to Hyblock Capital, 68.9% of global Binance BTC orders remain long. While this suggests traders still place trust in Bitcoin’s mid-term upside, overly crowded long positions often precede reversal events.
Risk Perspective for Professional Investors
- When funding rates remain positive and long positions dominate, the market becomes fragile.
- Downside liquidity grabs become more probable.
- Once long liquidations are cleared, Bitcoin frequently forms major mid-cycle bottoms—offering strong re-entry points and cross-asset rotation opportunities.
6. Cross-Market Influence: How BTC’s Movement Affects New Crypto Opportunities
When Bitcoin encounters downside volatility:
- Capital often rotates into mid-cap ecosystems (Sui, INJ, SOL, AI-linked tokens).
- Investors seeking new revenue streams often explore staking yields, cross-chain infrastructure tokens, and real-world asset (RWA) projects.
- Bitcoin corrections historically precede speculative rallies in emerging assets.
This dynamic is crucial for readers looking beyond BTC for their next opportunity.
7. Macro Influences Strengthening Volatility
Other market sources highlight macro factors adding pressure:
- U.S. rate-cut expectations remain uncertain.
- Institutional inflows into Bitcoin ETFs have slowed over the past two weeks.
- Regulatory pressure—especially around derivatives and offshore exchanges—has affected leveraged flows.
Despite these pressures, long-term macro demand for Bitcoin remains strong. BTC continues attracting treasury allocations, fintech integrations, and sovereign interest—indicating that any major correction is likely to be cyclical rather than structural.
Conclusion: Is a Reversal Possible After $98,000?
A sweep into $98,000 is becoming increasingly likely given:
- Four retests of support
- Heavy long positioning
- A massive downside liquidity cluster
- Weakening structural momentum
However, such events often mark the final stage of market cleansing.
Historically, these liquidity sweeps create:
- Deep value entry points
- Higher-timeframe bullish reversals
- Strong rotation into emerging crypto assets
For investors seeking new crypto assets, yield opportunities, or practical blockchain use cases, monitoring the $98k zone may provide a crucial signal for the next wave of digital-asset growth.
