After several weeks of sustained upward momentum, Bitcoin is currently above $66,000. The price recently encountered resistance at the crucial $69,000 level, which is expected to take time and significant liquidity to overcome.
Key data from Binance reveals that more than half of futures traders have shorted BTC in the past few hours, creating a divisive environment for price action.
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The futures market often serves as a barometer of momentum and liquidity, signaling potential changes in Bitcoin’s price movement. As BTC consolidates Just below the $69,000 resistance while holding support above $66,000, the next few days will be crucial.
Investors and analysts are watching closely to determine whether Bitcoin will reach new all-time highs or whether the period of accumulation will continue. The result could set the tone for the next phase of the market.
Bitcoin futures traders remain bearish (for now)
Bitcoin is currently in a consolidation phase after weeks of impressive price appreciation. Despite this pause, analysts and investors remain optimistic about Bitcoin’s price trajectory in the coming weeks, with many believing that BTC will begin a massive recovery once it reaches its all-time highs. However, this breakout may take some time as key data from Binance indicates bearish sentiment among futures traders.
Prominent analyst and investor Ali Martinez shared 4-hour long-short ratio on Binancerevealing that 53.71% of futures traders are shorting BTC. This bearish positioning suggests indecision in the market as traders remain uncertain when Bitcoin will surpass the critical $69,000 level. The ongoing short-selling trend could be a temporary barrier to Bitcoin’s momentum.
However, the outlook could change quickly as cash investors could take advantage of the current dip and start buying Bitcoin. Increased spot purchases could provide the liquidity needed to push BTC higher, reversing bearish sentiment in the futures market.
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If buying pressure intensifies, Bitcoin could soon challenge and break the $69,000 resistance, potentially paving the way to a new all-time high. In the short term, investors are watching closely to see if Bitcoin will consolidate further or gain enough momentum to continue its upward trend.
BTC Testing Key Liquidity Levels
Bitcoin is trading at $66,800 after facing rejection from the $69,000 bid level. Despite the pullback, BTC remains strong, holding above the $66,000 mark. This price level is critical as it will likely determine the direction of Bitcoin in the coming days.
If BTC fails to maintain above $66,000, the price may seek liquidity at lower levels, with $64,000 as the next target. This level coincides with the 200 4-hour moving average (MA) and the exponential moving average (EMA), making it of key interest to buyers and sellers.
On the other hand, if Bitcoin maintains its position above $66,000, the likely next move will be a renewed challenge of the $69,000 resistance or potentially a push towards $70,000.
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The next few days will be crucial in deciding whether BTC will resume its upward momentum or face further consolidation around these key levels. Traders and investors are watching closely to see how Bitcoin reacts to the $66,000 support, which could set the stage for the next big move.
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