Is the Market Preparing for a Breakout? Liquidity Signals Say Yes!
Despite recent volatility, liquidity indicators across the market show signs of a potential breakout. Exchange outflows, OTC desk activity and stablecoin rotations all point toward strategic accumulation by large players. $BTC price may look sideways but smart money is quietly positioning just like previous cycle pre breakout phases.
One important factor: global liquidity is slowly improving. Rate cuts, easing inflation and institutional buyers re entering risk markets can all fuel crypto’s next major move. Altcoins are also forming tighter ranges a common precursor to large expansions. Whether this expansion is up or down depends on Bitcoin dominance and macro catalysts.
If $BTC breaks key resistance levels altcoins could follow with rapid gains. If dominance spikes expect capital to rotate back into $BTC temporarily. Right now, traders should watch liquidity heatmaps, funding rates and volatility compression. These indicators often reveal the move before the charts do.
Crypto rarely breaks out when everyone expects it it breaks out when most traders become complacent.
