Those who have followed the financial markets for some time may have heard of the contrary indicators. These measures are often misleading at first glance – some seem positive but tend to report a downward tendency of the market, while others that seem negative on brand prices.
Such a contrary indicator is the long bitcoin lever on the Bitfinex exchangex crypto. Historically, the number of long long on the exchange tended to slide during bull races and increase during lower trends.
During the editorial staff, the number of long BTCUSD on Bitfinex had fallen to 47,691, the lowest since December, offering bull’s bitcoin indices, according to Data Source TradingView. The long -term countdown in the first half and has decreased since then, characterizing the rapid recovery of BTC of around $ 75,000 to record heights of more than $ 110,000.
“When the long positions of Bitfinex increase, the price tends to drop. When long positions drop, the price generally increases,” said the Alphractal Cryptographic Analysis Society on X.
Explaining the enigma, Alphractal said that traders are generally mistaken in market management. This leads to forced or discretionary liquidations, which stimulates the price in the opposite direction.
“As long as the long positions of Bitfinex continue to drop, Bitcoin continues to go up,” noted João Weddson, CEO of Alphractal.
The graph shows the opposite nature of long BTCUSD on Bitfinex.
Since 2021, each major BTC rally major, including those observed in November-December from last year and the last of April, has coincided with the long BTCUSD slides on the exchange.
On the other hand, BTC bears trends, including the 2022 crash and the $ 100,000 drop to $ 75,000 seen at the start of this year, occurred when the long BTC / USD jumped.
