Bitcoin hits $63,960 two-week high; $65K needed for trend shift
In brief
- Bitcoin hit $63,960, highest level since June 23 at weekly close
- Trader Killa identified $60,400–$60,900 as Bitcoin's critical support zone
- Analysts say bulls need move beyond $65,000 for real trend inflection
- Crypto short liquidations exceeded $100 million in 24 hours
- Fed rate-hold expectations and cooling inflation supporting risk appetite
Support and resistance zones
Trader Killa identified the zone between $60,400 and $60,900 as Bitcoin's "most important" support level in the event of a downward reversal. The warning matters. If this region breaks, traders risk a direct slide to previous lows. Killa put it plainly: "If we cannot hold this price region on a revisit, I'm afraid we are going to trend directly to the lows again. Something to watch out for next week."
Trader Roman, who had been bearish on BTC/USD, shifted his stance this week. He stayed optimistic on longer time frames, signaling confidence in the recovery's staying power despite the volatility.
Macro tailwinds and Fed expectations
Bitcoin's climb aligns with shifts in broader market sentiment. The S&P 500 topped in early June and has yet to make a new high despite a 15% gain in the second quarter. Nasdaq 100 futures added 1% as markets recalibrated their view of Fed policy.
Recent US inflation and labor-market data helped soften markets' hawkish expectations for Federal Reserve policy last week. The Fed is expected to hold interest rates at current levels in both July and September according to CME Group's FedWatch Tool. That backdrop supports risk appetite.
What traders are watching
On shorter time frames, the action looks choppy. Trader Exitpump attributed recent moves to liquidity hunts on low time frames — the kind of whipsaw moves that catch retail traders off guard. That concern gains weight given that retail demand for short-term options has never been higher.
This week, the Fed will release the minutes of its June meeting, where it likewise kept rates steady. That data could shape sentiment heading into the second half of the year.
