Resilient Bitcoin Price: Three Crucial Charts Signal Strong BTC Recovery After Flash Crash

Resilient Bitcoin Price: Three Crucial Charts Signal Strong BTC Recovery After Flash Crash

The cryptocurrency market recently experienced a significant event. A flash **crypto crash** saw Bitcoin (BTC) plunge to $103,000. However, the flagship cryptocurrency quickly demonstrated remarkable resilience. This sudden downturn led to over $5.39 billion in leveraged positions liquidated within 24 hours. This figure is twice as large as the infamous ‘COVID-19 crash’ in 2020. Despite this dramatic event, various indicators suggest a robust **BTC recovery** might be underway. Many experts now closely monitor key charts and **on-chain data** for further clues.

Bitcoin Price Resilience Amidst Massive Liquidations

The recent market turbulence shook many traders. Over $5.39 billion in leveraged positions faced liquidation on Friday alone. This represents the biggest single-day wipeout ever recorded. This massive event exceeded the liquidations seen during the 2020 COVID-19 crash. Yet, Bitcoin’s price decline proved relatively mild in context. BTC rebounded by 8.50% after touching a local low near $103,000. At present, the **Bitcoin price** remains down 11% from its record high of $126,300. This resilience suggests underlying strength in the market. Consequently, many analysts view this dip as a potential buying opportunity.

Examining the weekly chart provides a broader perspective. Bitcoin’s latest correction, while dramatic on lower timeframes, appears less severe historically. The current drop is less than 10% so far. This contrasts sharply with the 14–15% dips observed in March 2025 and July 2024. Both of those previous corrections were followed by strong rebounds. Therefore, the current pullback might follow a similar pattern, setting the stage for further gains.

Key Indicators Point to Robust BTC Recovery

Several technical conditions indicate favorable prospects for a potential **BTC recovery** in the coming days or weeks. Bitcoin’s price continues to operate within an ascending channel. This bullish structure has guided its uptrend since mid-2023. Buyers have consistently stepped in each time BTC tested the lower boundary. This action has sparked new rallies toward the upper range. Furthermore, a crucial level to watch is the 20-week moving average (20-week MA). This key support currently sits near $111,000, according to analyst Michaël van de Poppe.

Bitcoin holding above the 20-week MA support could signify a final capitulation phase. This scenario resembles the COVID-19 crash and the FTX bottom. Historically, such phases often precede the start of a major uptrend. Should this pattern hold, analysts project a potential target of $140,000–$150,000 for year-end. Therefore, monitoring this moving average is vital for understanding future price action. A sustained hold above this level would reinforce bullish sentiment, supporting the narrative of a continued **BTC recovery**.

On-Chain Data Reveals ‘Shark’ Accumulation

While smaller traders faced forced liquidations, medium-sized holders showed different behavior. These investors, often termed ‘sharks,’ aggressively bought the dip. Sharks typically hold between 100 and 1,000 BTC. The daily Shark Net Position Change has surged dramatically. This metric tracks the wallets within this cohort. It reached 190,296, its highest level since September 2012, according to Glassnode data. This substantial increase highlights strong institutional or experienced investor interest.

Moreover, the Bitcoin supply held by this cohort has grown exponentially throughout 2025. It reached a new record high on Friday, even amidst the price drop. This trend suggests a lack of panic among more experienced investors. Instead, they view price declines as opportunities. The wave of buying by these larger entities often lays the groundwork for Bitcoin’s next major recovery. This significant **on-chain data** provides a strong bullish signal. It indicates conviction among powerful market participants, which can drive future price appreciation.

Bollinger Bands Suggest Mid-Cycle for Bitcoin Market Analysis

Bitcoin’s recent correction might represent a mid-cycle cooldown. It does not necessarily signal the start of a prolonged bear market. Chartist The Great Mattsby supports this view. Historically, past Bitcoin bull runs concluded only after its monthly Bollinger Bands fully expanded. Bollinger Bands are a key volatility indicator. These bands widen when market swings increase. Conversely, they contract when price movement slows. This ‘squeezing’ often precedes significant price rallies.

In previous bull cycles, including 2013, 2018, and 2021, Bitcoin’s peak coincided with the full expansion of these monthly bands. This expansion signaled overheated volatility. However, the current state shows these bands are still narrowing, or ‘squeezing.’ This pattern, based on historical **market analysis**, often precedes further price rallies. The Great Mattsby stated, “Using history as our guide bear markets don’t start when the monthly Bollinger Bands are still squeezing. They start at the end of their expansion.” Therefore, this technical indicator suggests more upside potential remains before the current bull market concludes.

Conclusion: A Promising Outlook for Bitcoin

Despite the recent **crypto crash** and massive liquidations, Bitcoin demonstrates remarkable resilience. The **Bitcoin price** quickly rebounded, showcasing strong underlying demand. Key technical indicators, such as the ascending channel and the 20-week moving average, suggest continued upward momentum. Furthermore, robust **on-chain data** reveals aggressive accumulation by ‘shark’ investors. This indicates confidence among experienced market participants. Finally, **market analysis** using Bollinger Bands points to a mid-cycle cooldown rather than an end to the bull run. These combined factors paint a promising picture for a sustained **BTC recovery** in the near future.

Disclaimer: This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

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