The recent bounce of BTC is not a normal bounce; it is a type of bounce that shows the market is thirsty for liquidity above.
Short positions are being continuously squeezed, especially in the area below 87k. The long candle bounce indicates that buying pressure is not just coming from retail but also from large wallets. When liquidity is thin in the range of 89k–91k, prices can be pushed up very quickly due to the lack of heavy orders.
On-chain data shows stablecoins lightly entering the exchange but steadily, indicating that the market is preparing for a strong volatility phase. If BTC closes a candle above 90k firmly, the potential to move towards 93k is entirely possible in the next session. Those who are still waiting for a deep drop may be left behind in this phase.
