Bitcoin approaches key $69K level as liquidity grab stalls breakout

Bitcoin (CRYPTO:BTC) bulls face resistance at the $69,000 mark as BTC price teases a breakout.

Despite the recent gains, analysts caution that more work is needed to solidify this level as strong support.

On October 18, Bitcoin achieved its highest daily close since June, just above $68,400, but failed to maintain momentum.

Traders observed that the surge towards $69,000 appeared to be driven by a "FOMO liquidity grab," leading to short-term rejection.

Roman, a popular crypto analyst, noted on X, "Low volume + bear divs on this breakout... this seems like a FOMO liquidity grab before the real breakout."

Data from CoinGlass revealed thick liquidity walls, particularly around the $68,400 zone, a key level that traders are closely watching.

Roman and other market observers identified this area as a significant resistance point, suggesting that a confirmed breakout is necessary for continued upward movement.

Rekt Capital, another trader and analyst, emphasised the importance of Bitcoin securing a daily close beyond the resistance zone to confirm a true breakout.

He explained, "Bitcoin just needs one daily close beyond the red resistance to position itself for a confirmed breakout from here."

On the macroeconomic side, QCP Capital highlighted institutional inflows and a rise in Bitcoin's market cap dominance, which stood at 58.88% at the time of writing.

These factors, according to QCP, suggest that "L1 coins" could also benefit from Bitcoin's upward momentum.

The coming days will be critical as Bitcoin bulls attempt to turn the $69,000 resistance into solid support, paving the way for a potential breakout.

At the time of writing, the Bitcoin (BTC) price was $68,139.34.