Trader Killa: Bitcoin's short-term choppy action may be a "liquidation game," next focus on $75,500

Odaily report: Trader Killa stated that for Bitcoin (BTC) to replicate its 2023 price action, it needs to form a higher low (HL) above $75,500, and ideally hold the low near $80,000.

After Bitcoin recently reclaimed its short-term structure in the $82,000 area, it retested and broke through again, with short-term market action showing strong "bull trap, bear trap" characteristics. When BTC previously pulled back from $84,100 to $81,000, the structure appeared weak, but a large number of shorts entering at the lows drove the subsequent rebound.

Killa said that during the decline from $84,100 to $81,000, long liquidations totaled approximately $300 million, while during the earlier drop from $86,800 to $80,600, long liquidations exceeded $2 billion, indicating that the market's leverage structure is improving, with the proportion of longs declining compared to before. The market now needs to form a higher low and initiate the next leg up; otherwise, this correction could break below $80,000.