CryptoQuant: BTC shows potential signs of a local bottom after 15% correction
CryptoQuant stated in a post that Bitcoin has experienced a correction of about 15% in the past three weeks, dropping from the range of $70,000 to the range of $60,000. With a significant pullback in Bitcoin yesterday, there may be signs of a local bottom:
Futures market: The open interest has decreased by about $3 billion in the past three weeks, mainly due to long liquidations. The financing rate for perpetual contracts has dropped to near zero, indicating a more balanced relationship between buyers and sellers, thus forming a healthier and less overly optimistic price structure.
Short-term holders: The price has exceeded the realized price of short-term holders (STH), which is $62,600. Currently, the average profitability of short-term holders is slightly negative, which has historically been a support point for local corrections in the upward trend.
In recent months, an important factor affecting price trends has been US macroeconomic data, as uncertainty about the future of US monetary policy affects investor risk appetite. On Thursday, we will welcome GDP and initial jobless claims data, and on Friday, inflation data (PCE), which is expected to influence market sentiment in the short term. However, based on the current structure, there may be signs of a local bottom.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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