At the peak of the current price movement, just above the level of $110,612.16, there is a clear area of idle liquidity. It is likely that this area has accumulated stop-loss orders from traders who are short-selling in the market or who bought earlier and are holding their profits below their previous highs. The market tends to seek liquidity to meet institutional orders, making this area a potential target for a sweep. As a result, it is likely that the price will eliminate these idle stop-loss orders in a rapid upward movement often referred to as 'liquidity grab' or 'stop-loss hunting' before reversing its direction or consolidating.

The bullish fair value index on the four-hour timeframe

After this liquidity sweep, the chart indicates a bounce towards the bullish fair value gap (FVG) on the four-hour timeframe located around the area of $106,600 to $107,400. This unbalanced area was formed during an impulsive upward movement, leaving behind a gap between the wicks of consecutive candles that represents areas where demand exceeded supply previously, and often forms strong support upon re-testing. Huma Finance