Bitcoin Futures traders return to pump BTC: will it Last?

Important points

• Crypto traders are returning to the market as spot and futures trading volumes rise.

• Charts indicate that swing trader will be selling intraday rally peaks.

The crypto market was volatile Tuesday, as Bitcoin prices (BTCEther, (ETHThe SOL (Solana’s SOL) () briefly pushed up to $4,110. Solana’s SOLSOLThe price of, also tried to rise above $200 with a short rally. It reached $198. These breakout rallies in Bitcoin are consistent with the rising BTC open interest. They also suggest traders returning to the markets after the October 10th sell-off that saw 20 billion dollars in liquidated futures.

Proof of Purchase traders rejoining the market Data from CoinGlass shows that Bitcoin futures’ open interest has risen above $32 billion since its low of $28 billion on Oct. 11.

The chart provided by Hyblock’s analysts shows the move from $107,453 to $114,000 in line with Bitcoin’s four-hour open interest anchored and its cumulative volume delta becoming positive. This breakout rally coincided with an increase in BTC’s funding rate. It is likely that this was a futures-driven move. 

As Bitcoin’s price settles into its post-selloff range, analysts say traders will start to focus on the zones with the most liquidity. Today, BTC prices were absorbing topside liquid in the range of $114,000-$115,000. 

Related: Price predictions 10/20: SPX, DXY, BTC, ETH, BNB, XRP, SOL, DOGE, ADA, HYPE

Rakesh Upadhyay, Cointelegraph’s technical analyst, said that the data shows traders becoming more confident about taking on risk. “sellers are expected to continue closing profitable positions at intra-day range highs,” Bulls, however, are not expected to be a common sight. defend the $107,000 support. 

This article contains no investment recommendations or advice. Each investment or trading decision involves some risk. Readers should do their own research before making any decisions.