Bitcoin’s price climbed to $111,880 on Thursday after it surpassed the previous record high on USD and USDT. Bitcoin’s breakout did not elicit a flurry of excitement among traders, and derivatives traders’ reactions were muted compared to the previous BTC price rally.
EthereumETHETH is gaining in popularity alongside Bitcoin, but it struggles to draw institutional investors.BTC( ) to its discovery of price. Altcoins among the top 50 crypto currencies ranked according to market capitalization have been on the rise in the past day.
Bitcoin derivatives analysis
The analysts at Amberdata and 10xResearch agree that it is the strength of the spot market, not speculation, which drives BTC gains. Bitcoin’s surge beyond $111,000 didn’t trigger a rush of euphoria in traders. The long/short ratio on top derivatives markets is also above 1. The ratio is above 1, which indicates that the traders expect BTC to continue rising. In previous years, such as the 2017 or 2020 cycles, it was over 2.
Data from the 24-hour period shows that $175 Million in short positions and $47,000,000 in long positions have been liquidated. The bearish traders who bet against the Bitcoin price rise are punished, but what is more important?
Bitcoin Futures Open Interest Chart on Coinglass is showing a huge spike. The open derivatives contracts for Bitcoin have now reached $78 billion. OI increases along with Bitcoin price. This signals strength in BTC’s upward trend. Bitcoin traders are optimistic about further price gains.
The funding rate is positive and has been since May 8. Consistency in green bars on the chart of the funding rate below demonstrates how traders in derivatives are positioning themselves to take advantage of further gains in Bitcoin. A positive funding ratio fuels the bullish narrative of an asset. This is especially true for Bitcoin.
Ethereum Technical and Derivatives Analysis
Ethereum’s on-chain shows an increase of less than 7%, in the last 24-hours. The long and short Ethereum liquidations were almost the same, at over $60 million, in the same period.
The ratio of longs to shorts across the top exchanges for derivatives is below 1, despite a surge in options volumes by almost 60%. It is not clear whether Ethereum derivatives traders are bullish, bearish or neutral.
Analysis of Ethereum derivatives data shows that Ethereum is behind Bitcoin when it comes to interest and activity by derivative traders.
Open interest on Coinglass remains below levels seen as recently as January or February 2025, even though ETH has broken past $2600. Even though the implementation of Coinglass’ latest upgrade was successful, it failed to generate a positive sentiment amongst traders.
The ETH/USDT price chart for the day shows ETH trading 12% lower than its psychologically-important target of $3,000 ETH’s support level is $2,415 and it appears that further gains will be possible as RSI continues to move upward and MACD displays green bars over the neutral line.
The chart of ETH/USDT shows that Ethereum is targeting the level $4,578. Altcoins’ previous high was $4,878.
The crypto market sentiment: Why the euphoria of traders is lacking
CoinMarketCap’s Fear and Greed Index Chart shows that as Bitcoin begins to price-discovery, levels of fear and greed are still high. “Greed” The highest levels of unemployment were recorded in November 2024. Trader sentiment, as expected, is not quite as high as it might seem. At the time this article was written (73), the reading reads.
Extreme greed has a correlation with the top of a cycle or an annual peak. Bullish traders are still not confident about Bitcoins that exceed $110,000.
This could be a good sign, as it confirms the idea that BTC is likely to pull back and then rally again.
What is the maximum Bitcoin price?
Bitcoin has set a target of $122,000. This coincides the Fibonacci Fibonacci-retracement of the 50% rise from the low on April 7 to the peak on May 22, which is 127.2%. BTC’s target is less than 10 percent away and the technical indicators of its daily chart suggest that it will likely continue to rise.
The RSI slopes upwards. It has crossed the “overvalued” zone and MACD flashes consecutive green histogram bars. The next level is $127.352, if Bitcoin breaks through the resistance of $122,000.
This $127.352 level is the Fibonacci Retracement Level of 141.4% for Bitcoin’s upward trend. Analysts at Bernstein have set a target of $200,000 for Bitcoin in 2025. However, BTC is expected to cross the $127,000 mark before June 2025 based on gains made since April 2025.
Shubh Vama, CEO of Hyblock capital, told Crypto.news he believes that the best support area is between $101,000 to $102,500. Binance and Bybit are two of the exchanges that have experienced a surge in trading. “heavy open interest entries that trap shorts and attract fresh longs,” This zone is a good place to start.
Bitcoin has surpassed resistance around the $105,000-level early Thursday. The daily timeframe will determine how long Bitcoin can hold above the FVGs.
Bitfinex’s analysts wrote to Crypto.news that they are watching the minor liquidity wall between $114,000-$118,000. The large open interest in options is growing from $123,000-$125,000. The following are areas that traders should pay attention to in the weeks leading up to May 2025.
Disclosure: The article is not intended to be investment advice. This page is intended for informational purposes only.
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Source: crypto.news
