Bitcoin’s recent recovery has reignited bullish sentiment among crypto trading groups, but simultaneously, short positions are increasing on major exchanges like Binance and Bitmex.
This growing divergence is creating a complex landscape for traders, as Bitcoin continues to hover below a crucial technical level.
📺 Bitcoin's recovery has sent crypto trading groups back into a bullish craze. But at the same time, shorts are still mounting on Binance & Bitmex. We talk about this contradiction, and whether top signals could bring this mini rally to a halt! https://t.co/uLC89uzvnZ pic.twitter.com/f7frD48A1V
— Santiment (@santimentfeed) September 13, 2024
Historically, Bitcoin trading above its 200-day moving average has been a strong indicator of potential returns. However, when it falls below this key level, sharp corrections often follow.
Currently, Bitcoin has been stuck under its 200-day moving average of $64,000 for over a month. This extended period below the average suggests the potential for a deeper correction, possibly towards Bitcoin’s Realized Price of $31,500.
#Bitcoin trading above its 200-day moving average often signals strong returns, while dropping below it can lead to sharp corrections. $BTC has now been below this key level, at $64,000, for over a month, hinting at a potential drop towards its Realized Price of $31,500! pic.twitter.com/DbqtNpL6D6
— Ali (@ali_charts) September 12, 2024
Further compounding this uncertainty, the Bitcoin Exchange Volume Momentum shows a decline in on-chain activity related to exchanges. This decrease in volume hints at reduced investor interest in Bitcoin, which could further dampen any potential for a strong recovery in the near term.
The #Bitcoin Exchange Volume Momentum shows a decline in on-chain activity tied to exchanges, signaling lower investor interest in $BTC. pic.twitter.com/PKZeWOolHl
— Ali (@ali_charts) September 13, 2024
The TD Sequential indicator on Bitcoin’s 12-hour chart has also flashed a sell signal, indicating that a brief correction might be on the horizon. While this signal may suggest caution for bullish traders, it’s still unclear whether a larger downtrend will follow.
The TD Sequential indicator presented a sell signal on the #Bitcoin 12-hour chart, anticipating a brief correction! pic.twitter.com/OokqA6zRhZ
— Ali (@ali_charts) September 13, 2024
Total Net Inflow Of Bitcoin Spot ETFs Sets At $39 Million
On the institutional side, the total net inflow of Bitcoin spot ETFs on September 12 was $39.0239 million. Notably, Grayscale’s ETF GBTC saw an outflow of $6.5123 million, while its mini ETF BTC experienced a $5.1771 million inflow. ARKB registered an inflow of $18.3424 million, and Fidelity’s ETF FBTC saw a positive inflow of $11.4651 million, indicating ongoing interest from institutional investors.
On September 12, the total net inflow of Bitcoin spot ETFs was $39.0239 million. Grayscale ETF GBTC outflowed $6.5123 million, Grayscale mini ETF BTC inflowed $5.1771 million, ARKB inflowed $18.3424 million, and Fidelity ETF FBTC inflow was $11.4651 million.…
— Wu Blockchain (@WuBlockchain) September 13, 2024
Despite the mixed signals, the market remains in a delicate balance as traders weigh the potential for a significant move in either direction.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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