Image default
Crypto News

Bitcoin Price Rally Faces Key Resistance: Will Whale Shorts Trigger A Market Pullback?

Bitcoin

As the broader cryptocurrency market experiences notable gains following the Federal Reserve’s rate cuts, Bitcoin (BTC) has reached a price of $63,670 on Thursday, marking substantial bullish momentum since late August. This surge has sparked increased interest from both retail traders and institutional players, leading to diverse positioning within the market.

Divergence In Trader Strategies

According to a recent post on social media site X (formerly Twitter) by technical analyst InspoCrypto, the recent price action on the Binance BTC/USDT perpetual futures chart highlights a strong upward trend, with Bitcoin breaking key resistance levels around $60,000. 

The volume accompanying this price rise remains robust, according to the analyst, indicating solid support for the ongoing bullish movement. InspoCrypto suggests that while the market is currently in a bullish phase with no immediate signs of reversal, potential resistance is anticipated around $64,000 to $65,000.

Insights from Hyblock Capital’s heatmap, reveal significant differences in positioning between large traders (whales) and retail investors. The heatmaps show an increase in long positions among retail traders, particularly in the $62,500 to $63,500 range. 

In contrast, whales have been accumulating short positions below $60,000, suggesting a cautious sentiment among institutional players despite the short-term optimism among retail investors toward the largest cryptocurrency on the market.

Bitcoin Faces Key Liquidation Levels At $60,000 And $64,000

InspoCrypto further highlights that open interest in the futures market has also been rising along with the Bitcoin price, especially in the $62,000 to $63,500 range, indicating growing confidence in the bullish trend

In addition, the current funding rate is positive, suggesting that long positions are prevalent and traders are willing to pay a premium to maintain those positions. However, the analyst cautions that a sustained high funding rate could lead to market corrections as traders rebalance their positions.

Volume remains a critical indicator of market strength, supporting the bullish rally as it surpasses the $63,000 mark. Notably, the volume delta is positive, indicating more buying pressure than selling. However, there are significant liquidation levels at $60,000 and $64,000, which could trigger volatility if the market tests these price points.

Overall, InspoCrypto contends that sentiment in the market is moderately bullish, rated at 7 out of 10. While retail traders appear confident and are predominantly taking long positions, the accumulation of shorts by whales signals a potential cautionary stance. 

Bitcoin
The daily chart shows BTC’s price surge. Source: BTCUSDT on TradingView.com

At the time of writing, the industry’s largest digital asset is trading at $63,300 for the first time since late August. This represents a 5% increase over the past 24 hours, coupled with gains of 8% and 12% over the past seven and fourteen days, respectively.

Featured image from DALL-E, chart from TradingView.com

Ronaldo Marquez


Ronaldo Marquez

Ronaldo is an experienced crypto enthusiast dedicated to the nascent and ever-evolving industry. With over five years of extensive research and unwavering dedication, he has cultivated a profound interest in the world of cryptocurrencies.

Ronaldo’s journey began with a spark of curiosity, which soon transformed into a deep passion for understanding the intricacies of this groundbreaking technology.

Driven by an insatiable thirst for knowledge, Ronaldo has delved into the depths of the crypto space, exploring its various facets, from blockchain fundamentals to market trends and investment strategies. His tireless exploration and commitment to staying up-to-date with the latest developments have granted him a unique perspective on the industry.

One of Ronaldo’s defining areas of expertise lies in technical analysis. He firmly believes that studying charts and deciphering price movements provides valuable insights into the market. Ronaldo recognizes that patterns exist within the chaos of crypto charts, and by utilizing technical analysis tools and indicators, he can unlock hidden opportunities and make informed investment decisions. His dedication to mastering this analytical approach has allowed him to navigate the volatile crypto market with confidence and precision.

Ronaldo’s commitment to his craft goes beyond personal gain. He is passionate about sharing his knowledge and insights with others, empowering them to make well-informed decisions in the crypto space. Ronaldo’s writing is a testament to his dedication, providing readers with meaningful analysis and up-to-date news. He strives to offer a comprehensive understanding of the crypto industry, helping readers navigate its complexities and seize opportunities.

Outside of the crypto realm, Ronaldo enjoys indulging in other passions. As an avid sports fan, he finds joy in watching exhilarating sporting events, witnessing the triumphs and challenges of athletes pushing their limits. Furthermore, His passion for languages extends beyond mere communication; he aspires to master German, French, Italian, and Portuguese, in addition to his native Spanish. Recognizing the value of linguistic proficiency, Ronaldo aims to enhance his work prospects, personal relationships, and overall growth.

However, Ronaldo’s aspirations extend far beyond language acquisition. He believes that the future of the crypto industry holds immense potential as a groundbreaking force in history. With unwavering conviction, he envisions a world where cryptocurrencies unlock financial freedom for all and become catalysts for societal development and growth. Ronaldo is determined to prepare himself for this transformative era, ensuring he is well-equipped to navigate the crypto landscape.

Ronaldo also recognizes the importance of maintaining a healthy body and mind, regularly hitting the gym to stay physically fit. He immerses himself in books and podcasts that inspire him to become the best version of himself, constantly seeking new ways to expand his horizons and knowledge.

With a genuine desire to become the best version of himself, Ronaldo is committed to continuous improvement. He sets personal goals, embraces challenges, and seeks opportunities for growth and self-reflection. Ultimately, combining his passion for cryptocurrencies, dedication to learning, and commitment to personal development, Ronaldo aims to go hand-in-hand with the exciting new era that the emerging crypto technology is bringing to the world and societies.

Disclaimer: The information found on NewsBTC is for educational purposes
only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any
investments and naturally investing carries risks. You are advised to conduct your own
research before making any investment decisions. Use information provided on this website
entirely at your own risk.

Read More

Related posts

The Popular $100K Year-End Goal for Bitcoin Has Less Than 10% Probability in Options Market

Elena R

VALORANT Season 2025 Act 2 Battle Pass: Skins, Release Date, & Price

Krishi Chowdhary

DStv Adds New Channels Across Packages Starting June

Leave a Comment

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More