Technical analysis by SmartEdgeTrading about Symbol BTC: Sell recommendation (1/3/2026)

By analyzing the #BTCUSD chart on the 1H timeframe, we can see that after our previous bullish structure, Bitcoin continued to trade higher and successfully pushed toward the $90,800 – $91,000 region, which is marked as the expected major breakout (BO) zone on the chart. Following this strong upside move, BTC is now showing signs of short-term exhaustion, with price reacting below the recent highs. The market is currently trading around $90,240, where we can observe repeated breakout attempts (BO) and increasing volatility, suggesting that liquidity above has already been partially tapped. This move has created a short-term liquidity imbalance, and based on the chart structure, a pullback is expected before any further continuation. The projected move, as shown by the red arrow, suggests that price may retrace toward the $89,300 – $89,350 support area, which aligns with prior structure and liquidity resting below current price. The expected short-term downside correction could be around 800 to 1,200 points, allowing the market to rebalance before deciding the next directional move. As long as price holds above the major demand zone around $86,000 – $87,200, the overall structure remains bullish, and any pullback should be considered corrective rather than a trend reversal. This analysis will be updated as price reacts at the highlighted levels. Please support me with your likes and comments to motivate me to share more analysis with you, and feel free to share your view on whether Bitcoin will continue higher after the pullback or break down from this zone.Update: Clean rejection from the major BO zone. Price hit the 89,335–89,350 level 🎯 Setup worked as planned.