Crypto traders have a lower behavior despite the bitcoin
Exchanging above $ 110,000 and perhaps targeting a new record greater than $ 112,000.
Coanyze data show that during Bitcoin’s passage this week from $ 106,000 to $ 110,000, the long / short ratio went from 1.223 in favor of long to 0.858 in favor of shorts.
It should be noted that the long / short ratio in this case analyzes the percentage of long or short accounts, which is generally an indicator of the feeling of retail. The long / short ratio has been negative several times during the recent move above $ 100,000 despite the fact of remaining positive throughout the previous bull market in 2021.
Open interests also increased from $ 32 billion to $ 35 billion during this period, which indicates that a significant capital is pumped into the Bitcoin short-circuit. However, funding rates have remained positive throughout this increase, which indicates that traders also fall into long positions.
Bitcoin has been trapped in a relatively tight range since the beginning of May, negotiating between $ 100,000 and $ 110,000 with three tests from each level of support and resistance.
Technical indicators as the relative force index (RSI) Continue to paint a downward image with several lower divergence readers, with RSI weakening each test of $ 110,000.
The recent influx of short positions may well be merchants of lower time by capitalizing on the range, short-circuiting the resistance before reversing their business with each test of $ 100,000.
This was true on June 22 when the long / short ratio climbed to 1.68 while Bitcoin temporarily dropped to $ 100,000 before rebounding.
There is a case of potential bull with the increase in short positions: a short pressure. This would happen if Bitcoin was starting to trigger liquidation points and stop the losses above a record, which would lead to the impulse of purchase and upward continuation.
Update of July 3, 4:21 PM UTC: Add a context on the long / short ratio and a sentence on the remaining financing rate.
