The key takeaways
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Bitcoin soared to a new record high of $109,000, as global money supply grew.
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BTC Open Interest rose 10% due to Coinbase’s strong Premium rate, and the stable funding rates. These factors indicate a spot-demand.
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Analysts are predicting a Bitcoin price of $137,000 based on multiple technical indicators.
BitcoinBTC(price) soared on Wednesday by 3.6%, reaching $109 730 for the very first time since 12 June. A new high of $55 trillion in global M2 money supply fueled the recovery.
Bitcoin’s daily candle closing above $108 500 will confirm an engulfing bullish pattern. This increases the probability of new highs occurring sooner than later.
Bitcoin Open Interest jumps above 10% during rally
Bitcoin’s recent rise to $109500, from $105,200, was highlighted by the sharp increase in derivatives activities, which pointed to renewed momentum. Open interest The (OI), across the major futures markets, increased by 10 percent, or about $3.2 billion. This indicates a significant influx of new capital to the market. This increase in OI was driven primarily by long positions which suggests that there is still more upside to come.
The funding rate remained constant across all perpetual futures market despite the increase in OI and price. This shows a balance between short and long traders and, more importantly, the fact that this rally was not driven primarily by excessive leverage. A stable funding situation during an increase in price is a sign of a more durable uptrend.
Over $196 Million in short positions accompanied this move. liquidated Within the past 12 hour. Bitcoin likely advanced past resistance levels due to this liquidation.
Bitcoin’s strength is further validated by the Bitcoin Coinbase Premium Index The price of Bitcoin remained high throughout. The price differential between Coinbase, and the other major exchanges is tracked by this metric. It indicates that institutional and retail US investors have been consistently buying spot Bitcoins. This adds weight to the bullish argument.
Related: Bitcoin price target ‘sits around $170K’ as global M2 supply reaches record high
Are we about to see a BTC record high?
Market analysts believe that Bitcoin is on the verge of a new high after it decisively broke out from its sideways range. According to trader Rekt CapitalA record close of $109,300 on Sunday would effectively move BTC out of its last major resistance zone. “unlocking” Price discovery is the key to new highs.
Analyst Jackis adds to the bullish story. highlighted Bitcoin’s volatility has dropped to its lowest level since 2023. It is rare and only happens seven times throughout its history. “Every time we’ve hit these levels, a major volatility spike followed within five weeks, often sooner,” Jackis made a comment, indicating that an important move could be imminent.
Titan of Crypto, a technical analyst pointed A confirmed bullish MACD cross-over on the daily chart is a strong momentum indicator. BTC, according to the analyst, is trying to breakout of a flag pattern. If successful a momentum signal will be triggered. “magnet effect” The $137,000 area.
Related: Bitcoin squeezes shorts in $108K spike as US jobs drop most in 2 years
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Source: cointelegraph.com
