BTC slips under $18,000 again with the selling pressure picking up again, despite the small rally earlier today. BTC is down another 2% since the trading session started and pushed under $18,000 so let’s take a closer look at the price analysis in today’s Bitcoin news.
The price of the leading crypto asset is now set at $17,925 with ETH and other altcoins dropping rapidly as well. According to ByBT, the BTC funding rates of the futures markets are around the baseline of 0.01% per eight hours while on OKEx, they dropped into the negative which means that short positions are paying long positions regularly. This could be a sign that the market has reset from the leverage that took the market into the higher levels of $19,000 but the funding rates which are resetting could be seen as a positive sign that Bitcoin is ready to move back into the upside.
The drop came in spite of the institutional demand for BTC while Matt Kaye, the managing partner at Blockhead Capital, asked his followers why BTC is not rallying as MicroStrategy is primed to purchase $500 million worth of BTC:
“The one thing I can not wrap my head around is the lack of front running on Saylor’s $550MM raise. You’d expect rational market participant to want long before that fiat is allocated. The deal is set to close as soon as tomorrow. What am I missing?”
Some believe that BTC is primed to move lower in spite of the institutional inflow which is taking place currently. One analyst said that the fact BTC is printing strong SFP Candles at the highs of $19,950 could show that there are more losses coming our way:
“I’ve been bearish on #Bitcoin near the highs based purely on TA. Literally HTF SFPs on Eth and Btc at the top. My TA says this can come back way lower, $11k-13k. With these large players buying in at these levels maybe this time it’s different? What do you all think?”
Another reason why investors are concerns is on-chain trends. Willy Woo, the leading on-chain analyst commented that he believes there’s a good chance of consolidation or more losses in the weeks ahead:
“Bitcoin on-chain structure saying to bulls “thou shall not pass”, not without a reset. A reset means many weeks of sideways or a decent bearish dip. Will we get a dip? There’s no impulse of coin movements that’s strongly bearish just yet. Waiting game.”
The one thing I can not wrap my head around is the lack of front running on Saylor's $550MM raise.
You'd expect rational market participant to want long before that fiat is allocated.
The deal is set to close as soon as tomorrow.
What am I missing?https://t.co/pDlKwRmBgh
— Matt 🧐 (@Matt__Kaye) December 11, 2020
Many believe that BTC will retain the macro increase despite that BTC slips under $18,000 again as well as the US dollar which continues dropping.
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