Key Market Developments
Bitcoin (BTC) tested its $100,000 support level on Friday, with bulls anticipating the formation of a higher low. Current market analysis suggests that a "bottoming phase" for Bitcoin is underway, supported by signs of increasing Relative Strength Index (RSI) strength and the potential for a higher low to be established.
BTC Price Dynamics and Liquidity
Data from Cointelegraph Markets Pro and TradingView indicated that the BTC price retreated to near $99,000 as the New York trading session opened. Following a failure to achieve a significant relief bounce from recent multi-month lows, BTC/USD continued to exert pressure on both bulls and late long positions.
According to monitoring resource CoinGlass, total crypto long liquidations exceeded $700 million within a 24-hour period at the time of reporting. Liquidity was observed forming both above and below the current price levels, suggesting potential manipulation of short-term price movements by large-volume traders.
Trading resource Material Indicators observed $57 million in BTC bid liquidity appearing at the $99,000 level, describing it as potential "plunge protection." However, they expressed skepticism, suggesting it might be part of a "liquidity herding game" and indicated they would monitor whether this liquidity moved with price or was withdrawn if the price reversed.
“FireCharts shows $57M in $BTC bid liquidity showing up as plunge protection at $99k. Not convinced they want to get filled. This feels like another round of the liquidity herding game. Watching to see if it moves up with price, or rugs if price reverts.”
Commentator Exitpump focused on open interest (OI) for signs of a short-term recovery. They noted a significant increase in OI, with shorts previously in control but suggesting this may not last. The price's bounce from large bids indicated some strength that could lead to a short squeeze, with the New York open (NYO) being a key indicator to watch.
$BTC Another round of big OI increase, shorts were in control, but not for longer, price is bouncing back from large bids, some signs of strength that can lead to proper short squeeze, NYO will be important. pic.twitter.com/rowlJKvsbA
— exitpump (@exitpumpBTC) November 7, 2025
On the hourly chart, the price showed an attempt to form a higher low. Simultaneously, the relative strength index (RSI) data indicated a rebound from the "oversold" boundary around 30/100. Trading account CRG observed that BTC/USD had yet to exhibit significant strength, suggesting it was either carving out a higher low or preparing for another downward move to clear previous lows and liquidate remaining longs.
Bitcoin's "Bottoming Phase"
Onchain analytics platform CryptoQuant concluded that Bitcoin is currently in a "bottoming phase." This assessment is supported by several indicators, including the cumulative volume delta (CVD) for Bitcoin futures.
CryptoQuant contributor Sunny Mom noted in a "Quicktake" blog post that speculative selling pressure is diminishing. While spot CVD remained "slightly bearish," the absence of mass forced selling among traders suggests a potential market relief. The analysis concluded that the current market conditions resemble a bottoming phase, and "a bit of good news may be all it takes to spark the next rally."
