Tag: derivatives

Bitcoin price reclaims $86K with rare bullish reset sign

The post Bitcoin price reclaims $86K with rare bullish reset sign appeared com. Bitcoin price may be gearing for a rebound with a cleaner setup after prolonged leverage wipeout. Summary Bitcoin trades near $87K after a major leverage flush that cleared out excessive long positions. CryptoQuant analysts say fear, oversold readings, and reduced open interest could support a slow recovery. The chart still leans bearish with downward-sloping averages and weak momentum. Bitcoin was trading near $86, 646 at press time, up 0. 6% in the last 24 hours. The daily range sat between $85,483 and $87, 995. The coin remains down 10% over the past week after a 31% pullback from the $126,080 all-time high set on Oct. 6. Trading volume climbed to $64. 7 billion in the last 24 hours, a 46% increase, showing a short burst of activity after days of heavy selling. CoinGlass data shows that derivatives volume rose 35% to $93 billion, while open interest increased 0. 64%. Rising volume with slightly higher open interest often means traders are returning to the market after a liquidation flush, but positioning is still cautious. Open interest drop may mark price reversal A Nov. 21 analysis by CryptoQuant contributor Darkfost points to a major structural shift in derivatives. He noted that Bitcoin’s (BTC) open interest, measured in BTC, is showing its strongest 30-day drop of the entire cycle, with Binance alone losing roughly 1. 3 million BTC in open contracts. Darkfost said this type of decline “has not appeared since the 2022 bear market,” adding that the current cleanup is “far more meaningful than many traders admit.” He noted that the market had been heavily driven by leveraged positions, with total open interest reaching an all-time high near $47. 5 billion earlier in the cycle. He described the ongoing cleanup as a natural reset after a long period of speculative positioning. Another CryptoQuant analyst, gigisulivan, pointed to a drop in the.