An inverse H&S pattern has formed, indicating a target price of 85,600, and the setup is currently active. As posted in my previous post, after sweeping the liquidity around the 81,200 level, the price advanced toward the next key liquidity zone I highlighted.
If it faces rejection from the overhead resistance levels, a potential retracement back to the 81,300 area, where approximately 82 Million in liquidations are positioned, is likely.
BTCUSDT Puts are trading at a premium to calls, signaling a spike in demand for downside protection. This skew is most pronounced in short-term maturities - a level of fear not seen since BTC was in the $20Ks in mid-’23.
Despite this, BTC hasn't broken down like equities did on recent tariff headlines. That disconnect - rising panic without a price collapse - makes the current options market setup especially notable.
Skew like this usually appears when positioning is one-sided and fear runs high. TLDR: panic is elevated, but price is holding. That’s often what a bottom looks like