Bitcoin short turns risk-free after partial close, with traders watching $75K liquidity and BTC near $78.3K support.
Bitcoin shorts shifted after a trader closed more than half of a position near profit. The remaining trade was moved to risk-free as BTC reacted from a local range high.
The trader now watches the $75,000 area, where long liquidity may sit.
Trader Trims Bitcoin Short After Range Rejection
Astronomer said a Bitcoin short opened on Friday has started to work as planned. The position followed a stall near the top of a local trading range.
After the drop, the trader closed just over half of the trade. The trader said the remaining short is now risk-free.
This means the stop has been moved to protect the position. The step also reduces pressure if Bitcoin moves back toward weekend highs.
The trade was described as a cautious countertrend short. It was not presented as a full bearish Bitcoin call.
The trader said the wider bias remains bullish, while the short hedges existing long positions.
However, the setup came after strong upward price action. The trader called the entry “somewhat of a knife catch.”
Still, the market slowed enough to form a range near the entry zone.
$75K Liquidity Area Stays in Focus
According to Astronomer the main target for the remaining short sits near $75,000. That area was described as a zone with stacked long positions.
Such zones can attract prices when traders are forced to exit. Bitcoin had already moved from the range high toward the range low.
Therefore, the trader chose to secure profit instead of pressing the trade. The plan now focuses on careful management rather than extra risk.
The trader also pointed to “magnets above and below” the current price. This suggests liquidity may sit on both sides of the market.
As a result, sharp moves remain possible in either direction.
Weekend trading also shaped the decision. The trader said Sundays can squeeze after Saturday weakness.
Because of this, the position was not fully protected until after the squeeze ended.
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BTC Holds Key Daily Chart Levels
BTC/USD was trading near $78,396 on the daily chart. That placed Bitcoin close to the 0.786 Fibonacci level near $78,309. This level remains important for short-term direction.
If Bitcoin holds this zone, buyers may try to push higher again. The next resistance area sits near $86,966.
A daily close above that level could weaken the current short setup. Meanwhile, a break below $78,300 may support a move toward lower levels.
The trader’s near-term focus remains the $75,000 liquidity area. Further weakness could later bring $70,000 to $67,000 into view.
Momentum readings were mixed but still showed buyer strength. The MACD stayed positive, while RSI was near 60.
Because of that, the short remains tactical, not a call for new lows. The trader also said weekend highs may be taken next week.
Therefore, the remaining short has a clear time limit. For now, the plan is to trade the range until Bitcoin confirms a breakout.
Source: https://www.livebitcoinnews.com/bitcoin-shorts-turn-risk-free-as-trader-targets-75k-liquidity/
