Bitcoin’s $84K-$85K wall: The largest distribution zone to watch

On Sunday, the 11th of October, Bitcoin [BTC] bounced 1.68% to reach a local high of $84,199. The $84.5k local resistance was not tested.

Across the crypto market, the past 24 hours saw $208.64 million in liquidations, $148.79 million of them positioned short.

Short squeeze and opportunistic buy wall behind Sunday’s move

Bitcoin faced $50.86 million in liquidations, and $42.69 million (83.9%) worth of short positions taken out. The price pushed up toward the cluster of short liquidations around $84k before receding.

Crypto analyst Maartunn observed in a post on X that the bid/ask ratio briefly jumped to 0.3 to show strong buying pressure during the price move into the short liquidations overhead.

At $83k, 53% of the wealth invested in Bitcoin was above the market price. Hence, buying BTC at this level would leave one better off than just over half the BTC investors, wrote crypto analyst Darkfost.

There were two key clusters to watch out for. The $84k-$85k zone is the largest distribution zone, and investors are expected to react to this zone. A break of this level could be a sign that the trend favored the buyers once again.

Meanwhile, the $77k-$79k and also the $64k-$65k areas to the south were key support zones to watch.