Bitcoin Open Interest High: Short Positions Fueling The Fire?

Open interest in Bitcoin ($BTC) is high. This has sparked a series of questions regarding the token’s ability to sustain optimistic resistance margins. One theory that has come forward states that the Open Interest, or OI, is high because short positions are greedy. The theory further states that shorts have around $8 billion, while long positions have just more than a billion dollars on their side.

Many are now expecting the trend to mirror the pattern of April–May 2024.

Bitcoin’s profit supply has dipped to 76%. Earlier reports put it at 100% in March of this year. This dip has reportedly brought opportunities for crypto enthusiasts to buy the token. Long-term holders have no intention of selling a portion of their BTC holdings.

The aforementioned viewpoint originates from a Quick Take article published in CryptoQuant.

The current price of BTC is $60,734.52, a decrease of 1.25% over the past 24 hours. It further reflects a drop of 7.63% and 11.66% in the last 7 days and 30 days, respectively. There has also been a notable decrease in market cap and 24-hour trading volume. This has barely affected Bitcoin’s future outlook. It continues to target $100,000 more as a year-end goal. The flagship crypto is alternatively poised to surpass the margin of $150k as the year approaches conclusion.

Prevailing trends are bearish amidst 3.68% volatility. According to near-term predictions, BTC is expected to reach $82,179 in the next 30 days, a jump of 35.09% from the current value. The 50-day SMA and 200-day SMA are $66,468 and $56,922, respectively, and are applicable in the same order.

Bitcoin has previously achieved an ATH of $73,000. Holders believe that it can do the same once more, irrespective of the pace. Ongoing trends do make it obvious that a rebound is on the horizon, but they refuse to quote a timeline.

The SEC’s approval of Spot Ether ETF is likely to drive an upswing in the crypto market. Undoubtedly, ETH is the main contender, anticipating billions of dollars in inflows. Actual inflows are difficult to determine and will surface only after the Commission gives the green light to the final registration form.

Long-term holders retaining their portion likely signals that they are waiting for BTC to reach the predicted milestone eventually.

Selling pressure is expected to take center stage as Mt. Gox announces rolling out settlements to the victims of the 2014 hack. Since acquiring those tokens in 2013, their value has significantly increased. In other words, the victims of the 2014 hack are sitting on a large sum of profit, which they may be considering encashing at the earliest.

RECENT NEWS

Ether Surges 16% Amid Speculation Of US ETF Approval

New York, USA – Ether, the second-largest cryptocurrency by market capitalization, experienced a significant surge of ... Read more

BlackRock And The Institutional Embrace Of Bitcoin

BlackRock’s strategic shift towards becoming the world’s largest Bitcoin fund marks a pivotal moment in the financia... Read more

Robinhood Faces Regulatory Scrutiny: SEC Threatens Lawsuit Over Crypto Business

Robinhood, the prominent retail brokerage platform, finds itself in the regulatory spotlight as the Securities and Excha... Read more

Ethereum Lags Behind Bitcoin But Is Expected To Reach $14K, Boosting RCOF To New High

Ethereum struggles to keep up with Bitcoin, but experts predict a rise to $14K, driving RCOF to new highs with AI tools.... Read more

Ripple Mints Another $10.5M RLUSD, Launch This Month?

Ripple has made notable progress in the rollout of its stablecoin, RLUSD, with a recent minting of 10.5… Read more

Bitcoin Miner MARA Acquires Another $551M BTC, Whats Next?

Bitcoin mining firm Marathon Digital Holdings (MARA) has announced a significant milestone in its BTC acquisition strate... Read more