“The Action Suggests Bitcoin’s Recent Range – Capped AT AROUND $ 110,000 to the Upside – Could Continue.”, – WRITE: www.coindesk.com
Trading Above $ 110,000 and Possibly Taking AIM AT A NEW RECORD HIGH ABOVE $ 112,000.
Data from Coinealyze Shows that During Bitcoin’s Move this Week from $ 106,000 to $ 110,000, The Long/Short Ratio From 1.223 in favoor of Longs to 0.858.
Open Interest Also Rose from $ 32 Billion to $ 35 Billion During this Period, Indicating that Significant Capital is Being Pumped Into Shorting Bitcoin.
Bitcoin Long/Short Ratio (Coinealyze)
Bitcoin has been trapped in a Relativly Tight Range Since Early May, Trading Between $ 100,000 and $ 110,000 with Three Tests of Each Level of Support and Resistance.
Technical Indicators Like Relative Strengt Index (RSI) Continue to Paint a Bearish Image with Several Drives of Bearish Divergence, With Rsi Weakening on Each Test of
The recent influx of short positions Could Well Be Lower Timeframe Traders Capitalizing on the Range, Shorting Resistance Before Reversing Their Trade at Each Test of $ 100,000.
This Rang True On June 22 WHEN The Long/Short Ratio Shot Up to 1.68 As Bitcoin Momentarily Slumped Through $ 100,000 Before Bouncing.
There is a potential bull caase with the increase in short positions: a short squeeze. This would Occur If Bitcoin Begins to Trigger Liquidation Points and Stop Losses Above a Record High, Which would Cause an Impulse in Buy Pressure and Continuation To.
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