Open interest remains above $35B
Bitcoin fell below $67,000 on June 11 as Wall Street markets dropped a familiar pre-inflation report.
BTC Price Crash: “Much Ado About Nothing?”
Data from Cointelegraph Markets Pro and TradingView showed the local Bitcoin (BTC) price on Bitstamp to fall to $66,696 – the worst month to date.
After falling for 24 hours in a row, bitcoin failed to chart its trend for the day as vulnerable assets prepared for US macroeconomic data and Federal Reserve commentary.
Now down 3.6% on the day, BTC/USD has set various negative targets from traders, which have stretched to $60,000.
“Getting close to support. If the reversal shows itself, many times it will want to enter,” noted trader Roman told subscribers on X that day.
“Finally I've been looking at 67k support for over a week so it's time to get close.”
His partner Castillo Trading agreed, focusing on a slightly lower buy zone around $64,000.
“We knew there might be some downside to $BTC. It was hard to open fresh longs above $70,000. Now, we're getting into an area where I want to add,” said part of X's post.
Others have called for stability amid the general price action, with Bitcoin consolidating below all-time highs for nearly three months.
“The 15-week cut is below the current all-time high,” noted trader Jelle.
We are off to a red start this week, pushing into a key support level at $67,500. It may be uncomfortable, but nothing has changed. Don't be shaken.”
Trader, analyst and podcast host Scott Melker called the latest price action “much ado about nothing.”
A nice drop today, but simply test support in the EQ range – still trading in the upper half of the range. The predictable chop that comes with this part of the cycle is 3 months in,” he explained.
Open demand presents a “high risk situation”.
A note of caution from market watchers who track open interest (OI) in derivative markets.
Related: Bitcoin hash ribbs lights first buy signal starting at $25K BTC price.
This reached a new all-time high in June, surpassing $37.6 billion, which has traditionally been a warning of BTC price volatility.
Bitcoin futures fell as OI fell, according to data from CoinGlass, but remained above $35 billion.
For Filbfilb, co-founder of trading suite DecenTrader, the writing was on the wall.
“Prices flat, OI up $1.5 billion. A high-risk situation,” he summed up.
Filbfilb presents what he calls a “worst-case scenario” for BTC/USD, which has hit lows as low as $45,000.
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.
