the $112k dip might have been the best thing that happened to bitcoin... cause this setup looks too good to ignore

just saw some interesting analysis about this weekend's btc dump to $112k and honestly, it might have been exactly what we needed. instead of freaking out about the selloff, let me break down why this could actually be setting up for a serious recovery.

the "power of 3" pattern is playing out perfectly: we've seen the classic accumulation phase ($119k-$115k), then manipulation (the dump to $112k), and now we might be entering distribution toward $126k. this isn't random, it's how institutional money operates while retail panics.

$922 million liquidation event cleared the deck: this was the biggest liquidation since february with $240m in btc futures alone. open interest dropped from $88b to $79b. when this much leverage gets flushed out, it removes the overhang that was keeping price suppressed.

funding rates flipped negative across exchanges: binance, bitmex, deribit all showing negative funding. that means shorts are paying longs to keep positions open. when retail is this bearish after a correction, it's usually time to start thinking contrarian.

binance taker volume hit -$1.5b: this level of aggressive selling hasn't been seen since july 25th. it's classic retail behavior - buy the top, sell the bottom. the panic selling around $114k was probably the capitulation we needed.

technical levels are lining up: the $112k-$115k zone was a major fair value gap that got filled. we bounced off the previous ath from may which is now acting as support. if we can reclaim $115.3k and $116.8k, $120k becomes a magnet with all that liquidation cluster sitting there.

why this feels different: previous corrections this cycle were about uncertainty. this one feels like a reset. leverage got flushed, weak hands got shaken out, and funding rates reset. the market structure actually looks healthier now than before the dump.

we're sitting around $114k right now but the signs are pointing toward a bounce. when you combine technical rebound signals with sentiment washing out and leverage being cleared, you get the setup for sustained moves higher.

not saying we're immediately going to $126k, but this correction might have done exactly what was needed to continue the bull market instead of ending it.

anyone else seeing similar patterns or am i just being too optimistic about what was basically a standard crypto dump?