How Liquidity Voids Reveal Future Price Targets In XAUUSD And Crypto

As of early December 2025, the market is trading inside a highly efficient but aggressively volatile environment. Gold XAUUSD is holding above the 4,200 region after a strong multi-month rally, with analysts watching the 4,250 zone as the next resistance as traders position for a potential Federal Reserve rate cut. At the same time, Bitcoin is trading back above 93,000 after recovering from a sharp selloff, while Ethereum is battling around the 3,000 level after a powerful breakout and pullback sequence.

In this environment, liquidity voids and imbalances are clearly visible on daily and intraday charts. These thinly traded zones are not just random gaps; they are precise clues revealing where institutions have moved price too fast and where the market is likely to revisit. For traders focusing on XAUUSD, BTC and ETH, liquidity voids now act like a forward roadmap for future price targets.

This article explains how liquidity voids form, how they are currently appearing in December 2025 conditions, and how traders can use them to anticipate the next price objectives. For deeper smart money and liquidity-based education, visit Liquidity By Murshid.

What Are Liquidity Voids In Smart Money Trading

In smart money and ICT style trading, liquidity voids represent areas where price moved so quickly that very little trading took place between two price levels. They usually show up as large one-directional candles with minimal overlap between adjacent candles, reflecting a strong imbalance between buy and sell orders.

When these voids appear, they mark zones of inefficiency in price delivery. The algorithmic nature of modern markets means price often seeks to rebalance these inefficiencies over time, turning them into future targets that price is likely to revisit.

• They form after violent displacement moves
• They reflect thin liquidity and one-sided orderflow
• They often act as magnets price returns to later

December 2025 Macro Context For XAUUSD BTC And ETH

Gold in December 2025 is consolidating near multi-month highs around the 4,200 region, supported by growing expectations of a Federal Reserve rate cut after softer US labour data and cooling economic indicators. Short-term forecasts suggest gold may correct toward support zones around 4,165–4,000 before attempting moves toward 4,250 and potentially higher.

Bitcoin has rebounded back above 90,000–93,000 after a deep leveraged washout that erased nearly a billion dollars in speculative positions. ETF inflows have turned positive again, and many analyses now track a December range roughly between 88,000 and 94,000 as derivative positioning resets.

Ethereum has recently pushed through the 3,000 level and briefly challenged the 3,200 area, with various forecasts projecting potential continuation toward the 3,500–4,000 region if bullish momentum persists. At the same time, shorter-term projections still acknowledge the possibility of pullbacks back below 3,000 due to volatility and profit taking.

Across all three markets, these strong directional bursts have left visible liquidity voids, especially on H1 and H4 timeframes. Those voids now function as key reference zones for position entries and future price targets.

How Liquidity Voids Form In The Current Gold Environment

On XAUUSD, the rapid rally from the 4,000 psychological level toward recent highs above 4,200 created multiple zones where candles expanded with little overlap. These moves were driven by rising expectations of rate cuts and safe-haven flows, causing price to shoot higher in short bursts that outpaced normal order matching.

These bullish displacement candles often leave gaps between their wicks and bodies relative to previous candles on lower timeframes. As a result, traders can now clearly mark:

• Imbalances between roughly 4,120–4,150 from fast spikes
• Deeper voids closer to 4,050–4,080 left during earlier breakouts
• Older inefficiencies below 4,000 tied to the initial breakout phase

As long as the broader trend stays bullish, these voids below price act as potential downside magnets and discount zones where smart money can reload long positions before the next expansion leg.

Liquidity Voids In Bitcoin After The Late November Selloff

Bitcoin’s path into December 2025 has been shaped by a heavy liquidation event in November, where price dropped below 90,000 and wiped out a large number of leveraged long positions before bouncing back above 93,000. This violent drop then rebound sequence created stacked liquidity voids both on the way down and on the way up.

On the downside, sharp candles from the 93,000–95,000 area down into the mid-80,000s created thinly traded regions. On the upside, the short squeeze move back above 90,000 also left imbalances. These zones now act as reference points:

• Voids under 90,000 that may be revisited if risk sentiment sours again
• Thin areas above 93,000 that can be retested during continued squeeze phases

For traders, these voids mark where price can move very quickly once re-entered, offering both high opportunity and high risk.

Ethereum Liquidity Voids Around The 3,000 Level

Ethereum has seen its own version of fast displacement as it broke through resistance near 2,800–2,840 and then surged past 3,000, with analysts eyeing 3,200 and 3,500 as next upside markers. Recent swings have also included sharp dips back below 3,000 followed by equally fast reversals, generating multiple imbalances.

On the chart, this leaves:

• Bullish voids between old resistance near 2,840 and new support zones
• Thinly traded areas above 3,000 from short-covering rallies

These voids become logical areas where the market may rebalance before attempting a sustained move toward higher resistance near 3,500–4,000, if the broader bullish thesis continues into late December.

Why Liquidity Voids Act Like Future Price Magnets

From a microstructure perspective, liquidity voids are places where one side of the market dominated and the other side did not get a chance to fully participate. Over time, as conditions normalize, price often returns to these zones to “check” those levels, allowing pending orders and delayed participation to be executed.

In December 2025, this is especially relevant because much of the current positioning in gold and crypto is driven by expectations around interest rate cuts, ETF flows, and macro risk sentiment. When narratives shift, price frequently snaps back through these voids to rebalance positioning before moving on to new extremes.

• Voids below price mark potential retracement targets in an uptrend
• Voids above price highlight where relief rallies can run toward in a downtrend
• Filled voids often coincide with the next decision point or reversal zone

Using Liquidity Voids To Build Future Price Target Maps

A practical way to use liquidity voids in December 2025 is to treat them as waypoints in your price target map. Start with the higher timeframe trend, then mark all clear H4 and H1 imbalances left by recent impulsive moves in XAUUSD, BTC and ETH.

For example:

• On gold, identify bullish voids under current price that align with 4,165 and 4,000 key supports
• On Bitcoin, track voids around 88,000–90,000 as potential retracement zones if the 93,000 area fails
• On Ethereum, mark 2,800–2,900 voids that may be revisited before any run toward 3,500+

These mapped voids then serve as realistic future price objectives rather than random guesses, especially when they align with external liquidity such as equal highs, equal lows, or major psychological levels.

Risk Management When Trading Around Liquidity Voids

While liquidity voids can be powerful signals, they also represent areas of fast movement. When price re-enters a void, it may travel through that zone quickly again due to the lack of resting liquidity. That means traders must manage risk carefully and avoid over-leveraging.

The safest approach is to wait for confirmation: let price tap into the void, watch for reaction on lower timeframes, and then enter only if structure aligns with your directional bias. Stops should be placed outside clear liquidity pools rather than directly inside the void itself.

Conclusion Liquidity Voids As A December 2025 Roadmap

In December 2025, with gold near 4,200, Bitcoin fluctuating around 93,000, and Ethereum defending the 3,000 region, liquidity voids offer a clean roadmap for what comes next. They show where price has unfinished business, where institutions may rebalance positions, and which zones can serve as future targets in both directions.

By combining liquidity void analysis with macro context, rate expectations, ETF flows, and institutional sentiment, traders can shift from guessing to planning. Instead of reacting emotionally to each spike, you can anticipate where price is most likely to travel next based on objective inefficiencies left on the chart.

To go deeper into liquidity voids, fair value gaps, and institutional price delivery on XAUUSD and crypto, explore the programs and insights at Liquidity By Murshid.