Bitcoin Price Eyes $70K as Liquidity Reset Signals Rebound

Highlights:

• Bitcoin is pulling back into the week’s average between $68.236 and $68,967
• Price action shows that the recent dip was a liquidity sweep 
• Rising exchange inflows hint at a possible rebound to $70k or higher in the short term

Bitcoin (BTC) is relatively unchanged today, a price action now quite common with Bitcoin and the broader market. At the time of writing, Bitcoin was trading at $67,729.29, down 0.81% intraday. Bitcoin trading volumes are also relatively down intraday. They currently stand at $32.92 billion, down by 1.01% in the day. 

This lack of price action shows that most investors are staying on the sidelines until there is a clear change in its price direction. That’s because while the price appears to be bottoming out, there are still fears that there could be one more leg down. A couple of real factors are driving this fear of another leg down before the next bull run. 

Bitcoin Faces More Downside as Not All Bulls Have Capitulated

The first is that some long-term holders have not yet capitulated. While the majority have capitulated, a factor that has reduced selling pressure, many others are still in profit. With Bitcoin’s price continuing to show weakness, those still in profit may turn to panic selling to defend whatever profits they have left and protect their capital. This is especially likely if Bitcoin’s price starts to show weakness and breaks down through the long-term liquidity zone it is trading in at the moment.

#CryptoInsights #MidValue

📉 On-chain signal flashing: Bitcoin's still in that tricky hope/fear zone, not the full capitulation we've seen at real bottoms before.

This tweet breaks down Bitcoin's current phase using NUPL – that's Net Unrealized Profit/Loss, basically showing if… https://t.co/Gfbfmzsj5U

— Crypto Goblin (@CryptoGoblinBot) February 18, 2026

A Possible Retest of Recent Low Keeping Bitcoin Buyers Cautious

Another factor that investors fear could drive the price lower is the fear that Bitcoin could retest the lower level of the long-term liquidity zone before a rebound. This essentially means there is a risk that Bitcoin could drop to a low of $60k before a rebound. That is a significant dip, especially for retail money that relies on leverage to try to magnify gains. A drop from $67k to $60k with leverage can wipe out an account, even if there are real prospects of a rally to $100k or higher later.

$BTC

Every sustainable rally since November started with Whale Delta flipping green. Every single one.

This metric tracks whether the biggest players in the market are net buying or net selling. When it's red, the heaviest wallets on the exchange are actively distributing, not… pic.twitter.com/3uYNx7Z0QF

— Ardi (@ArdiNSC) February 18, 2026

There is also the fear that Bitcoin is at the beginning of a bear cycle if the 4-year cycle is anything to go by. While the price appears weak as it is, based on the 4-year cycle, Bitcoin could remain bearish until late 2026 or even early 2027. This would mean the price still has room to correct going forward. Investors fear that such an eventuality would mean Bitcoin dropping to prices as low as $30k in the foreseeable future. 

Rising Exchange Inflows Offer Hope for a Bitcoin Rebound

While such fears may be holding Bitcoin back from any major price move, the odds of a major correction remain relatively low. Multiple factors favor either a continuation of the flatlined trading or even a rebound.

One factor is that exchange inflows are rising. The number of Bitcoin active addresses is also rising, and is currently near all-time highs. This is an indicator that investors are starting to feel like the bottom is in, and are coming back in, albeit cautiously. There is also the fact that funding rates remain negative, a pattern that usually precedes strong bullish reversals.

Between February 2 and 15, this ratio increased sharply from 0.4 to 0.62, indicating a significant resurgence of whale activity on #Binance. pic.twitter.com/7saT47GKAp

— FourSeasons AI Degen Show (@foursea04990246) February 18, 2026

Technical Analysis – Bitcoin Pushing Back Into the Week’s Liquidity Zone

Yesterday, February 17, Bitcoin turned bearish and broke down from the week’s liquidity zone at $68,967-$68,236. However, the price is pushing back towards this zone, an indicator that it was not bears in control but rather the market hunting for deep liquidity before falling back into the week’s average.

If Bitcoin returns to the $68,967- $68.236 range, two things could happen. The first is more consolidation short term. The second is a rally through the $68,236 resistance and a potential retest of $70k. The other scenario is when Bitcoin fails to regain the week’s range. In such a case, bears could take control and push the price to $60k or lower. With funding rates negative and buyers slowly returning, the odds are higher that Bitcoin will trade within the week’s range or breach it and rally to $70k short-term.