Imbalance in Bitcoin's Order Book: Can $70,000 Sustain?

Bitcoin has regained its footing at $70,000, yet market participants are exercising caution as technical indicators point to a structure similar to the bullish trap witnessed back in January 2026.

Increase in Bitcoin’s Sell-Side Liquidity

Bitcoin’s sell-side liquidity has notably surged during the latest market retest. According to trader Ardi, Bitcoin ask orders peaked at a two-month high, stating:

“Asks on Bitcoin just hit a 2-month high. $1.57B in sell-side liquidity stacked above price vs $1.125B in bids below.”

Bitcoin orderbook analysis by Ardi. Source: X

This sell-side liquidity exceeds demand by about 40% within a 5% range around the current spot price, establishing substantial resistance above and leaving below the market price only a fragile support layer.

Historical Context and Future Outlook

The trader further elaborates that a similar setup occurred in January when Bitcoin surpassed $98,000 briefly before retreating back. A significant amount of ask liquidity indicates that traders may be capitalizing on rebounds to secure profits.

Another analytical measure suggests increased buying activity, with Bitcoin’s 30-day net taker volume showing a positive trend of $83 million as of March.

Bitcoin net taker volume. Source: CryptoQuant

Can BTC’s Underwater Supply Affect Its Recovery?

Data showing the average acquisition cost for short-term Bitcoin holders reveals that they entered at substantially higher prices—nearly $88,900. The concentration of supply peaks between $86,000 and $99,000, forming a crucial inflection point for many holders, as this is where many accumulated their investments during the period from November 2025 to February 2026.

On a positive note, selling pressure appears to be easing as recent realized losses stand at $611 million compared to $346 million in profits, resulting in a net loss of $264 million, significantly less than the $2 billion in losses recorded in February when Bitcoin dropped below $60,000.

Bitcoin realized loss 7-day average. Source: CryptoQuant

In summary, Bitcoin’s current pricing structure indicates a wider gap from the key short-term cost-basis level, limiting the sell-off during smaller rebounds. Many short-term holders might wait for prices closer to $86,000 for selling, rather than cutting losses.

In conclusion, while stabilizing above the $70,000 - $72,000 range alleviates some immediate selling pressure, a more substantial turn in market sentiment may hinge on Bitcoin reclaiming the $86,000 to $89,000 range.