Bitcoin bears 'annihilated' as analysis sees $65K support test next

Bitcoin (BTC) has “annihilated” short sellers with its latest trip to monthly highs as crypto liquidations pass $500 million.

Key points:

• Bitcoin bears suffer as BTC price action hits $74,000.

• Analysis sees more liquidations to come, including longs, with possible market dips below $70,000 to test support.

• Bitcoin inflows begin to copy a broad ETF rebound in place through 2026.

BTC price analysis: “Bulls just took back control”

New analysis from CryptoReviewing, the pseudonymous cofounder of trading community Wealth Capital, says that the “entire market scenario” for Bitcoin has changed.

The past few days have seen BTC price swings take out both long and short positions worth hundreds of millions of dollars, but the trip to $74,000 ultimately cost bears more.

“Bears just got annihilated,” CryptoReviewing summarized.

Accompanying exchange order-book data from monitoring resource CoinGlass shows price slicing through walls of liquidations.

Wednesday’s liquidation total for Bitcoin and altcoins neared $600 million, with more shorts erased than on any day since Feb. 25.

“And now the entire market scenario has changed... At $73,000 - $75,000 we have a large liquidity zone which could be swept, potentially leading to even higher levels,” CryptoReviewing continued. 

“However, $65,000 - $71,000 below has roughly 4x more liquidity built up, making it the 'more likely' zone from a liquidity perspective to be visited next. Bulls just took back control.”

Such a support test is also on the radar for Keith Alan, cofounder of trading platform Material Indicators.

As part of a new market analysis published on Wednesday, Alan argued that a consolidation phase should form part of a reliable trend change.

“A support test, sooner than later, would be healthy, but I'm not sure that the market is going to make it that easy on us. However this develops, IMO, the longer it takes to grind up, the more durable the rally will likely be,” he wrote.

Alan nonetheless warned that long-term bearish signals remained in place, expecting Bitcoin’s “next leg down” to result from the current setup.

Bitcoin ETFs in focus amid “historic acceleration”

As Cointelegraph reported, price upside has accompanied renewed interest in Bitcoin from institutional sources.

Related: ‘This is not World War III:’ Five things to know in Bitcoin this week

The US spot Bitcoin exchange-traded funds (ETFs) saw net inflows of nearly $500 million on Wednesday.

Data from UK-based investment company Farside Investors confirms that inflows have been net positive on all but one trading day since Feb. 24. Even then, outflows were modest at just $27.5 million.

So far in March, the ETFs have taken in over $1.1 billion in capital.

Commenting, trading resource The Kobeissi Letter noted that ETF interest has broadly spiked this year, making the US Bitcoin and Ethereum offerings relative laggards after months of outflows.

“Investors are pouring money into US funds at a record pace: US-listed ETFs have pulled in +$380 billion so far in 2026, on track for the best year on record. This marks a +80% increase compared to the first two months of 2025,” it revealed on X.

Kobeissi described the US ETF industry as “experiencing a historic acceleration in investor demand.”