Fun

Bitcoin Leverage Remains High – Data Reveals Selling Pressure Above $93K

News Feed - 2024-11-26 10:11:15

Este artículo también está disponible en español.


After a historic rally, Bitcoin has faced its first major setback, pulling back 7% from its all-time high of $99,800. This comes after an impressive surge from $67,500 on November 5, marking a nearly 50% climb in just a few weeks. The price action has largely been “only up,” attracting significant attention from traders and investors alike. Related Reading Ethereum Analyst Predicts $3,700 Once ETH Breaks Through Resistance 1 day ago


However, the current pullback highlights growing caution in the market. Market caution said leverage levels remain elevated despite recent deleveraging efforts. Adler’s analysis reveals that increasing short positions and consolidation below the psychological $100,000 mark have contributed to the retracement.


While Bitcoin’s performance remains strong in the broader context, this dip signals a potential shift in market sentiment. The question is whether BTC can gather enough momentum to break past the $100,000 barrier or if further consolidation is on the horizon.


Many investors consider this pullback a healthy pause in a bullish cycle, but the high leverage levels suggest continued volatility. All eyes are on Bitcoin as it navigates this critical phase, with the next few days likely to determine its short-term direction. Bitcoin Bears Showing Up


After three weeks of minimal resistance from bears, signs of their resurgence emerge as Bitcoin struggles to break past the $100,000 level. This critical price point, which many believed would act as a springboard for further gains, has instead highlighted growing bearish sentiment. According to CryptoQuant analyst Axel Adler, the recent price action marks a potential shift in momentum.


Adler’s analysis on X reveals that despite a wave of recent deleveraging, leverage levels in the market remain elevated. Many key long positions were established around the $93,000 mark, providing bears with an opportunity to profit as BTC failed to push higher. This level has now become a battleground, with Bitcoin’s inability to sustain upward momentum signaling the possibility of further downside risk. Bitcoin Estimated Leverage Ratio | Source: Axel Adler on X


Bitcoin’s price hovers around this key level, raising the likelihood of a correction toward $88,500 or prolonged sideways consolidation below $100,000. Such a scenario would impact Bitcoin and set the tone for altcoin performance in the coming weeks. Related Reading XRP Analyst Sets $2 Target If It Holds Key Level – Can It Reach Multi-Year Highs? 2 days ago


The next two weeks will be pivotal as market participants closely watch Bitcoin’s price action. A decisive move, whether up or down, will shape the broader cryptocurrency landscape and determine whether this is merely a pause in a larger rally or the start of a deeper correction. BTC Testing Fresh Demand


Bitcoin is trading at $93,500 as bears regained control after it hit an all-time high last Friday. This retracement marks a shift in momentum, but bulls still can reclaim dominance if the price remains strong above the critical $92,000 support level. Holding this level would keep Bitcoin’s price action structurally bullish and signal resilience in the face of increased selling pressure. BTC testing fresh demand at $93K | Source:BTCUSDT chart on TradingView


If Bitcoin sustains strength above $92,000, the outlook for the short term remains optimistic, with the potential for another attempt at breaking key resistance levels. However, a drop below this mark would signal short-term weakness, potentially triggering further declines. The next critical level to watch would be around $84,000, where the 4-hour 200 EMA aligns as a support zone.


This level represents a major line in the sand for bulls. A breakdown below it could accelerate bearish momentum, extending the correction and dampening market sentiment. On the other hand, holding above $92,000 would reinforce bullish confidence, setting the stage for a recovery and a potential pushback toward previous highs. Related Reading Avalanche Soars 20% In 24 Hours – Analyst Reveals Next Price Target 2 days ago


Traders and investors are closely watching these levels, as Bitcoin’s ability to stay above $92,000 will determine whether it remains in a short-term bullish structure or succumbs to bearish pressures.


Featured image from Dall-E, chart from TradingView

News Feed

Russian Government to Track Crypto Transactions With Help From Anti-Drug Organization
Russian Government to Track Crypto Transactions With Help From Anti-Drug Organization Russian institutions have responded to a call fromа public movement for joint efforts to
Travala Sees 205% Jump in Booking Revenue as Travel Demand Returns — 60% Paid With Cryptocurrencies
Travala Sees 205% Jump in Booking Revenue as Travel Demand Returns — 60% Paid With CryptocurrenciesCrypto-friendly travel booking platform Travala has reported booking growth as d
Ripple joins multi-chain DeRec Alliance for secrets management
Derek Andersen5 hours agoRipple joins multi-chain DeRec Alliance for secrets managementRipple joins the Hedera and Algorand Foundations and industry players to advance a recovery standard to rival ERC-4337.876 Total view
Terra’s $2.8B Defense System — Luna Foundation Guard Audit Says Group Spent More Than 80,000 Bitcoin Defending UST Peg
Terra’s $2.8B Defense System — Luna Foundation Guard Audit Says Group Spent More Than 80,000 Bitcoin Defending UST Peg Months after the collapse of Terra’s U.S. dollar-p
Analyst Says These Factors Will Drive XRP Price To $1,000, But What Does Market Cap Say?
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
US Seizes Domains Used in ‘Pig Butchering’ Crypto Scam
US Seizes Domains Used in "Pig Butchering" Crypto Scam U.S. authorities have seized seven domains used in “pig butchering” cryptocurrency schemes. “Once the money
Sports Illustrated Awards Sweepstakes Sponsored by FTX to Give Away 1 Bitcoin
Sports Illustrated Awards Sweepstakes Sponsored by FTX to Give Away 1 Bitcoin The annual Sports Illustrated (SI) Awards have just revealed the line-up for the firm’s 2021 aw
Bitcoin drops below $60K as analyst says zero spot Bitcoin ETF inflows ‘very normal’
Nancy Lubale7 hours agoBitcoin drops below $60K as analyst says zero spot Bitcoin ETF inflows ‘very normal’Bitcoin price losses crucial support at $60,000 as inflows to the spot Bitcoin ETFs stagnate.6607 Total views
Yashu Gola9 hours agoHow high can Bitcoin price go by 2024?Historic price fractal, strong technicals and Bitcoin ETF approval euphoria could keep BTC prices elevated for the rest of 2023.6772 Total views21 Total sharesLi
Poll Suggests ECB May Wait Until Q4 to Raise Rates, Several Banks Expect a Series of Fed Rate Hikes This Year
Poll Suggests ECB May Wait Until Q4 to Raise Rates, Several Banks Expect a Series of Fed Rate Hikes This Year A recently published Reuters poll suggests the European Central Bank (
XRP Moves Into Key Range Against Bitcoin As 3 Major Targets Show Up
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
Brayden Lindrea7 hours agoGalaxy predicts 74% Bitcoin price increase first year after ETF launchCurrently, a 74% increase takes Bitcoin to over $59,000, and that doesn’t factor in “second-order effects,” says Galax