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Bitcoin Needs Deeper Liquidity Before A Real Recovery Takes Shape: Analysts
['Christian Encila', 'Day Ago', 'Godspower Owie', 'Ronaldo Marquez', 'Scott Matherson', 'Jake Simmons', 'Aayush Jindal']
NewsBTC
Prices bounced off a key range, and that breathing room has traders watching the market’s plumbing — not just the headline price.
Reports note that the path to a lasting recovery is likely to go through improved liquidity, with market watchers pointing to on-chain measures as the real signal to watch.
Any meaningful transition back toward a strong market rally should be reflected in liquidity-sensitive indicators such as the Realized Profit/Loss Ratio (90D-SMA).
According to a post shared on X, Glassnode said focus has moved toward liquidity after Bitcoin managed to defend the $80,700 to $83,400 support zone.
They can create the impression of a breakout, only for spot markets to settle back once the extra liquidity is consumed.