Bitcoin has once again stolen the attention of the crypto market after successfully reclaiming the important level of $63,500, thus reviving positive sentiment among investors.
At the time of writing, the price of Bitcoin is at $63,923, down 0.10% since it opened early Monday in Asian trading.
This latest recovery is seen as a sign that the world's largest cryptocurrency has the potential to continue its rise towards $67,000 if the current momentum can be maintained.
Market analysts are now focusing on the $62,800 to $63,500 zone, which is considered a critical support area.
As long as the price of Bitcoin can hold above that level, the short-term bullish structure is still intact.
Previously, Bitcoin managed to decline to around $62,400 before successfully forming a higher low and rising again beyond the support zone that it previously failed to defend.
According to TradingView analyst kiv1n, Bitcoin's current movement is also supported by the market liquidity map or liquidation map.
He expects Bitcoin to potentially head towards around $67,450 based on the existence of a large liquidity cluster near $67,559.
The area is seen as capable of being a magnet for price movements and potentially triggering the short squeeze phenomenon, which is a situation where traders who bet on a price drop are forced to buy back Bitcoin, thus accelerating the rise.
At the same time, famous crypto analyst That Martini Guy also believes that many traders were previously overly confident that the price drop that occurred was the beginning of a new downtrend.
However, Bitcoin's successful action in regaining the $63,500 level shows that buyers are still in control of the market.
Even so, the current rise still needs stronger confirmation.
If Bitcoin fails to defend the key support zone, the latest recovery may only be a temporary bounce.
However, if the buying momentum continues to increase, the $67,000 level is now the main target that traders are watching.
