Bitcoin (BTC), is calling for a “slightly more bearish” review of price action, as the old support levels are being lost overnight.
BTC/USD 1-hour candle charts (Bitstamp). Source: TradingView
Nalyst sounds alarm about open intere
Data from TradingView and Cointelegraph Markets Pro showed that Bitstamp’s November 19th low was $55,640
Bitcoin failed to rebound significantly after falling to its lowest level in over a month. Now, price forecasts are changing.
Filbfilb, a Decentrader analyst, stated that bulls may only be helped by a 50-day or 100-day moving average (DMA).
The BTC/USD fell through the first, leaving only the 100DMA at $53,000.
He said, “I’m going to spot long at $53,000 again,” after stating that the 100DMA protection price was “reasonably high.”
This level corresponds to Bitcoin’s $1 trillion market capital valuation.
Filbfilb’s and other problems are caused by the high open interest in Bitcoin derivatives despite the price fall.
He suspects that traders are taking longs. The result will either be a clean sweep via rebound or a “flushing” of their positions.
Chart showing open interest for Bitcoin futures. Source: Coinglass
The funding rates on major exchanges remained elevated, which indicates that investors are expecting higher prices to return.
Chart of Bitcoin funding rates. Source: Coinglass
Whales (keep) buying dip
Some hodlers with large volumes are making a lot of money elsewhere.
Related: Hoverdlers may find Bitcoin’s plunge to $57K an attractive entry point, according to traders
According to blockchain data, this week’s third largest BTC address continued to buy bitcoins. Its balance was increased by 207 BTC to $62,000. Then, larger accumulations were made in the form 1,647 BTC and 700 BTC as well as 484 BTC purchase.
Cointelegraph also reported that those who purchased coins in the last six- to twelve months are determined to keep their coins.
Even at all-time highs selling has remained low with the one year hodl accounting the largest portion of current Bitcoin supply.