Given this, Thomas explains that this movement points to exhaustion in the market. This could suggest more sellers are beginning to take profit, and with buyers taking a step back, there is not enough demand to hold off the supply being poured into the market. If this continues, then there will be a shift into the bearish territory for this.
Additionally, there is also the fact that the Bitcoin price moved “through a cluster of resting liquidity above recent highs.” This was the level that acted as the trap for late buyers and longs and triggered a wave of liquidations as the price moved downward again.
