Bitcoin auctions accumulate more than $60 thousand in hopes of BTC price reconstruction
Bitcoin (BTC) traders demand BTC price as bulls set up hot fights.
Data from resource tracker CoinGlass shows that the auction liquidation is approaching the trading range above $60,000 on April 17.
BTC price liquidity is thickening near key support.
Bitcoin has exhausted several long-term highs this week, with its immediate recovery sending hundreds of millions of dollars “flowing” into positions.
The bulls are still unable to rebalance, however, BTC/USD is stuck around $63,000 and is threatening a new breakdown.
The latest order book data shows that bids are currently trying to fill below the spot price – a common practice aimed at driving the market lower.
As Keith Allan, founder of marketing resource Material Indicators, explains, this is ultimately a strong signal for a market that needs a reversal. Lifting bids pointed out in a video analysis uploaded to X on April 16, that historically, the process has been preceded by excessive resistance.
“What we would like to see is more bidding liquidity before we get a move that has a better chance of breaking out here – similar to what we've seen historically,” he commented on the order book chart.
According to CoinGlass, the highest bids seen in the last 24 hours at the time of writing were $61,200, $62,200, and $62,800.
Bitcoin's funding value will briefly be negative.
Trader sentiment, meanwhile, has been held back, returning to negative currency for the first time since October 2023.
Related: Bitcoin whales refuse to sell as BTC price cuts $70K ‘euphoria'
With the sea change seen in recent weeks, especially during March's all-time highs, funding has now turned to bullish sentiment, with shorts paying long.
“Looking at the heatmap of the funding volume over the last 6 months, you can see that March has generally been very hot compared to the rest,” noted trader Dan CryptoTrades wrote in X's response.
“That's normal when prices are always at a new high, but occasionally there's a runoff. We've had a runoff like this.”
Trading suite DecenTrader says the period of negative funding is short-lived but indicative of an overall cooling environment.
On X's own thread that day, “Currency is positive again, but derivatives trading was a sign of stability.”
This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.
