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Bitcoin could enter a lower time frame distribution phase if it mirrors historical price action, according to analyst KillaXBT on X. The analyst states that BTC now ranges below the 0.382 level while holding above 0.5. He adds that price may sweep external highs before moving lower. The projected sweep has not occurred yet.
The BTC movement chart shared on X shows the asset consolidating after a sharp decline. Price action forms a tight range beneath the 0.382 retracement marker. At the same time, the structure holds above the 0.5 level. This setup reflects a historical pattern that the analyst references.
KillaXBT explains that this behavior aligns with prior lower time frame distribution phases. The model depends on Bitcoin mirroring past price action before the next directional move unfolds.
The analyst outlines a structure where Bitcoin price ranges just below the 0.382 Fibonacci retracement. Price remains supported above the 0.5 level during this phase. This range defines the potential distribution zone.
According to the shared analysis, distribution occurs when price consolidates before a move lower. The chart illustrates repeated candles within a defined box. That box sits under the 0.382 marker.
Meanwhile, Bitcoin has not swept the external highs shown above the range. The analyst identifies that sweep as a key step in the pattern. Until that happens, the setup remains incomplete.
KillaXBT states that the ideology behind the idea depends on Bitcoin mirroring historical price action. In prior cases, the price ranged below 0.382 while holding above 0.5. After that, it swept the external highs before declining.
The current chart shows no such sweep yet. Price continues to consolidate within the marked range. The external highs remain untouched. This detail forms a central part of the structure. Without the sweep, the historical mirror remains unfinished. Will Bitcoin follow through with that final move before shifting lower?
The analyst bases the outlook on historical price action behavior. The structure reflects a previous phase of a lower time-frame distribution. That earlier setup followed the same Fibonacci levels. First, Bitcoin ranged below 0.382. Then, it maintained support above 0.5. After that, the price swept the highs outside the range. Finally, it moved lower.
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In the current structure, only part of that sequence has formed. The range sits below 0.382 and above 0.5. Yet the sweep has not taken place.
For now, Bitcoin continues to consolidate within the defined zone. The analyst presents the structure as a mirror of past price action. The next step, according to the model, depends on whether the external highs get swept before any further decline unfolds.
Bitcoin continues to trade within a defined range below the 0.382 Fibonacci level while holding above 0.5 support. The projected external highs sweep has not occurred. The current structure mirrors a prior LTF distribution phase. Market participants may monitor whether that sweep forms before any further downside move.
