Bitcoin dropped into the high $70,000s after a sharp selloff triggered heavy long liquidations on Binance. Even so, the weekly chart still keeps price inside a rising channel, with key support now under pressure. Bitcoin Pullback Fits Long-Term Channel as Weekly Chart Tests Key Support Bitcoin's move back into the high-$70,000 range aligns with a broader technical correction visible on the weekly chart, rather than a breakdown of its long-term uptrend. The chart shows Bitcoin pulling back inside a rising price channel that has guided the market for several years. After peaking near the upper boundary of that channel, price rolled over and retraced toward the mid-range support area. This behavior mirrors earlier corrective phases marked on the chart, where sharp advances gave way to controlled pullbacks without breaking the dominant structure. Bitcoin / U.S. Dollar 1W Chart. Source: christophercolumbus via X The current decline also overlaps with a Fibonacci retracement cluster. Price has moved into the zone between the 0.236 and 0.382 retracement levels of the latest advance, an area that previously acted as resistance before flipping into support. On the chart, this region sits near the lower half of the channel and aligns with the zone labeled “technical correction,” reinforcing its importance. Earlier cycles on the same chart show a similar pattern. During parabolic phases, Bitcoin corrected deeply but remained above the channel base, labeled as “parabolic correction.” In contrast, the present move appears more measured, staying well above the lower boundary and closer to the channel’s midpoint. That distinction suggests the market is digesting gains rather than unwinding the broader trend. If price stabilizes within this band, the structure supports a continuation scenario where Bitcoin resumes higher highs after consolidation. However, a sustained weekly close below the channel midpoint would shift focus toward the lower channel support, increasing the risk of a deeper retracement toward the 0.5 or 0.618 Fibonacci levels. For now, the weekly chart frames the decline as a technical reset inside a long-term growth channel. The next few weekly closes should clarify whether this zone holds as support or gives way to a more extended corrective phase. Bitcoin Drop Flushes Leverage as Liquidation Heatmap Shows Heavy Long Wipeout Bitcoin’s sharp move lower over the past 24 hours coincided with a broad liquidation event on Binance, as leveraged long positions were forced out across multiple price levels. The liquidation heatmap shows dense clusters of liquidations forming above price during the early phase of the move, particularly between the $82,000 and $84,000 zones. As Bitcoin failed to reclaim those levels, selling pressure intensified and triggered cascading liquidations, accelerating the downside move. The concentration of bright bands in that range suggests a large buildup of long leverage that became vulnerable once price broke lower. Binance BTC/USDT Liquidation Heatmap (24 Hour). Source: CoinGlass As Bitcoin slid through the $80,000 handle, liquidation activity shifted downward. The chart highlights another notable pocket of forced closures near the $78,000 to $79,000 area, where price briefly paused before continuing lower. This behavior reflects a typical deleveraging pattern, where initial liquidations weaken market structure and expose deeper levels to further stress. Following the flush, liquidation intensity dropped sharply. Below roughly $77,000, the heatmap shows thinner bands, indicating that a significant portion of excess leverage had already been cleared. Price action also stabilized, with Bitcoin entering a narrower range and showing slower, more controlled movement compared with the earlier selloff. The remaining liquidity now appears more balanced, with fewer concentrated liquidation levels directly overhead. That shift suggests the market has reduced immediate downside pressure from forced selling. However, overhead zones near prior liquidation clusters may still act as resistance if price attempts to rebound, as traders who were liquidated often re-enter cautiously or sell into strength. Overall, the heatmap frames the move as a leverage-driven reset rather than a disorderly breakdown. The scale and distribution of liquidations point to a market that absorbed a sharp shock, cleared crowded positioning, and transitioned into a lower-volatility phase.
