Bitcoin, Will the Support Break?

Last week, the beginnings of altcoin FOMO were perceptible. Will it last? That’s today’s big question!

Warning: This article does not constitute investment advice or an invitation to invest. It is for information purposes only. You are the only one responsible for your trading and investment decisions.

Table Tennis POWAAAA

After the beautiful victory of Felix Lebrun at the European Championship in Krakow, another decisive match is underway for Bitcoin between two tough opponents: the $31,400 and the $30,000.

Range Bitcoin Perp on Binance It's long and it's ...
Range Bitcoin Perp on Binance. It’s long and it’s …

Last week we predicted a return to the bottom of the range following the FOMO on altcoins! This scenario has indeed unfolded, with a new attack on support. What happens at this stage of the game? Will the buyers of the $30,000 have the strength for another breakout? Let’s examine this together, based solely on orderflow. No sentiment here!

It smells like a continuation of the fight

Last week, altcoin FOMO was palpable due to a rise in Open Interests AND funding! Let’s see where we stand:

Last week the FOMO on altcoins was palpable due to a rise in Open Intesrets AND funding! Let's see where we stand:
Altcoin orderflow, in order: bitcoin price, open interests, funding and altcoin liquidations

The big good news is here. It’s looking a lot better! Look at that funding crashing hard into the negative at the bottom of the range, meaning that people are starting to short altcoins on Bitcoin support… Psychology will certainly get them, as this is a big signal for a bullish comeback this week, aimed mainly at our opposite player from the top of the range!

Let’s try to confirm this with the analysis on Bitcoin :

Bitcoin Orderflow In order, Prices, open interests, funding and liquidations
Bitcoin Orderflow – In order, Prices, open interests, funding and liquidations

Overall, even if it’s not a big return of the long ratio to 70, but already to 60, we have a signal of the end of the decline on Bitcoin. All the more so as Bitcoin’s open interests have fallen back, and there are no more open positions on this side. This phenomenon is often observed before an uptrend.

Conclusion

Simple and straightforward, a return to the top of the range is on the cards for this umpteenth racket from the buyers. One of the rackets will eventually break OR we’ll have the famous carrot point, which will surprise one of the players. The question is, which one? I’m sticking to my bullish bias, until I see a few people back in the market who will finally serve as an exit liquidity. That’s it for me! I’ll see you next week to check my analysis and prepare for the next one!