While Bitcoin price action continues to remain above the $100,000 price level, the last 24 hours have seen a decline of 2.5%. According to liquidation data from Coinglassthis decline led to the liquidation of $65.47 million in positions, with the majority ($54.10 million) being long positions.

Crypto analyst Kevin (Kev_Capital_TA) spotted a significant range from $96,000 to $111,000, calling it the most key zone on the Bitcoin liquidation heat map. This zone could determine the next market trajectory after months of trading back and forth between this range.

Bitcoin liquidity heatmap highlights key levels

According to for Kevin’s analysiswho posted on social media platform X, gigantic blocks of liquidity dominate the $96,000 to $111,000 range, which has created an crucial zone for Bitcoin investors to keep an eye on.

Liquidity heat maps visualize areas where buy and sell orders accumulate, often serving as potential reversal or breakout points. The presence of significant liquidity in this area suggests that the market may experience increased volatility as Bitcoin approaches these levels, and inexperienced investors may become caught up in the price action.

Liquidity blocks in this range are marked in green on the Bitcoin price chart below. These green zones are high activity zones that act as a magnet for price action. It is worth noting that the largest liquidity cluster is near $109,700, just above Bitcoin’s current all-time high of $108,786, achieved just three days ago. The proximity to this all-time high means that Bitcoin could experience another mighty price action when it reaches this level. There are multiple market participants with buy and sell orders of around $109,700.

Bitcoin needs to break out of its long-term sideways trade

Kevin also noted the extended period of Bitcoin sideways trading that has been taking place tested the patience of many investors. He noted that in tardy 2024, Bitcoin traded sideways for eight months before briefly rising in price before returning to another three-month period of low volatility.

However, since then the mighty upward trend has not been repeated. Although long-term holders can still make profits, short-term investors they feel the most tension due to the lack of any significant actions to enhance prices.

The first step to replicating the bullish momentum would be to break the upper limit of the liquidation zone at $110,000.

If Bitcoin breaks above this range, it could trigger a significant rally or sell-off, depending on the prevailing sentiment and trading activity in the zone.

However, lack of liquidity exceeding these levels also poses risks, especially below the lower end of the zone. Smaller orders mean there is not enough holding liquidity to reject a price collapse.

At the time of writing, Bitcoin is trading at $102,200, down 2.8% in the last 24 hours.

Featured image from Unsplash, chart from Tradingview.com