Key Points
- Bitcoin’s (BTC) trading activity signals $95,000 as a key support area.
- Net volume of Taker orders reduced as Funding Rate remained consistently positive.
Bitcoin’s (BTC) trading activity has been drawing attention due to its increased participation ratio.
The $95,000 mark has emerged as a significant support zone, with a large number of traders entering the market at this point.
Bitcoin’s Symmetrical Triangle Breakout
Following a recent rally, Bitcoin broke out from a symmetrical triangle on the charts.
The breakout led to a price point of $98,439.50, hinting at a potential continuation of the bullish trend.
However, should Bitcoin break below the triangle’s support around $95,500, it could lead to a retest of lower support levels near $92,660.
Net Taker and Funding Rate
Over the past two weeks, the net taker volume has significantly fallen, indicating a reduction in aggressive market entries.
This decline is in line with a consistently positive funding rate, suggesting that those holding long positions are anticipating higher prices.
The price of Bitcoin has maintained a stable trend within this period, with the cryptocurrency holding steady around the $99k-level.
This stability, coupled with reduced short selling and positive funding rates, could imply underlying strength in the market.
The uptrend in Open Interest suggests increasing engagement despite the price stagnation, which could be seen as a buildup to a potential price breakout.
Given these factors, the outlook for Bitcoin could be cautiously optimistic.
However, if there is a sudden hike in short selling or a negative shift in funding rates, it could potentially push the price downwards.