Bitcoin [BTC] Futures Long vs. Short Orders Diff on BitFinex Reaches All-Time High

Bitcoin [BTC] price dipped about $200 on Monday after reaching a high at $7666.

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The price of Bitcoin [BTC] at 4: 15 hours UTC on 10th December 2019 is $7365. It is trading 1.6% lower on a daily scale.

btcusd bitstamp BTC/USD 4-hour Chart on Bitstamp (TradingView)

BitFinex Long-Short Difference

BitFinex longs increased by over 50% from 25,600 BTC to about 38,280 BTC. It broke above the yearly high of the number of contracts just north of 38,200.

The shorts, on the other hand, are near all-time lows at around 6000 bitcoins.

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bitcoin long short differenceBitcoin Long – Short Orders on BitFinex (TradingView)

There are multiple ways in which the above scenario can be judged. The increasing long interest signifies a strong bullish momentum. However, it also increases the susceptibility to a short squeeze. Nevertheless, an expert trader, UglyOldGoat, suggests that these indicators can be slightly misleading as the long and short orders are always balanced in any market.

Furthermore, crypto trader, XC, also notes that the comparison is on a Bitcoin scale, in terms of USD, the break of the ATH of Long – Short orders is still pending.

bitfinex long short usdBitcoin Long – Short (USD) at Bitfinex (Source: Twitter)

On BitMEX, the long orders saw 5 times more liquidation than the short orders. Nevertheless, it also suggests that they looked to book their profits from the shorts.

bitmex long shortLong and Short Order Liquidations at BitMEX (Source)

The funding rate on BitMEX and BTC basis on Okex is also favoring the bulls at the moment.

Price Take – Resistances and Support

The chopping action is looking for support above $7350, the cross-section point of the 100 and 50-period moving average on the weekly scale.

btcusd weekly chart BTC/USD Weekly Chart on Bitstamp (TradingView)

Crypto Trader, Josh Rager indicates that $7080 is the next support level for Bitcoin. On short term sentiments, he tweeted,

All together – is this bullish or bearish – IMO, neither short term, it’s ranging and could likely be an accumulation area

The resistance for a bullish break is around $7500 and monthly open around $7800. According to leading derivatives and crypto trader, Tone Vays, the market is split between the bulls and the bears. Nevertheless, he says,

I give it approximately a 60% chance that we go below $6500 before we go above $10,000.

What probability would you give to a bullish break-out at current prices? Please share your views with us. 

Summary

Bitcoin [BTC] Futures Long vs. Short Orders Diff on BitFinex Reaches All-Time High

Article Name

Bitcoin [BTC] Futures Long vs. Short Orders Diff on BitFinex Reaches All-Time High

Description

Bitcoin [BTC] price dipped about $200 on Monday after reaching a high at $7666.
The price of Bitcoin [BTC] at 4: 15 hours UTC on 10th December 2019 is $7365. It is trading 1.6% lower on a daily scale.

Author

Nivesh Rustgi

Publisher Name

CoinGape

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Coingape is committed to following the highest standards of journalism, and therefore, it abides by a strict editorial policy. While CoinGape takes all the measures to ensure that the facts presented in its news articles are accurate.

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The views, opinions, positions or strategies expressed by the authors and those providing comments are theirs alone, and do not necessarily reflect the views, opinions, positions or strategies of CoinGape. Do your market research before investing in cryptocurrencies. The author or publication does not hold any responsibility for your personal financial loss.

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