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BTC with a clear bullish predominance

2 min read

It seems that BTC has finally run into a strong bullrun, which does not stop so easily. Recent statistics and market data show a clear dominance of longs, which is enriched by top traders with leverage.

How high does BTC get?

The largest cryptocurrency, BTC, has risen in the past week by 20%, bringing it to its highest level since 18 May. The unexpected shot of the BTC award may also be due to a recent statement by US Treasury Secretary Janet Yellen, which clearly supported the law on cryptographic companies, which is currently under consideration in the US Senate. The BTC derivatives indicator shows very clearly that there is a huge confidence of bulls behind the growth and, conversely, very low interest from bears.

BTC price on the Coinbase exchange.  Source: TradingView
BTC price on the Coinbase exchange. Source: TradingView

Inflation is pushing cryptocurrencies up

The U.S. Bureau of Statistics plans to release not-so-positive news to the U.S. public this week. Inflation data are likely to increase by more 0.5%. This fact can significantly help the cryptos headed by BTC to further growth.

Among other things, the indicator is known Crypto Fear and Greed Index shifted from a moderate level to a phase of greed. The value of this indicator is currently at the level of 74 points, which is the highest value since April 18. So it seems that the worst period is over and BTC is no longer in the way of a historic high.

Futures and margin with low bear activity

Positive expectations were also met with data coming from professional traders trading on the Futures and Margin markets. The ratio of long margins on the Bitfinex exchange reflects the clear predominance of bulls.

Bitfinex BTC margin long positions / total amount of margin positions.  Source: Bybt
Bitfinex BTC margin long positions / total amount of margin positions. Source: Bybt

We can see in the chart that the margin positions returned to 90% and did not decline. So it is clear that bear confidence is very low.

In terms of futures markets, we can see that traders also bet more on long positions. Data from Bybt shows positions from the best traders on the Binance, OKEx and Huobi stock exchanges. The current indicator of 1.14 bets on longs by more than 14%.

Bitcoin futures top traders with a ratio of longs and shorts.  Source: Bybt
BTC futures top traders with a ratio of longs and shorts. Source: Bybt
All content in this article is for informational purposes only and in no way serves as investment advice. Investing in cryptocurrencies, commodities and stocks is very risky and can lead to capital losses.
BlackRock (IBIT), the Grayscale Bitcoin Trust (GBTC), Fidelity (FBTC), Ark Invest/21Shares (ARKB), Bitwise (BITB), Franklin (EZBC), Invesco/Galaxy (BTCO), VanEck (HODL), Valkyrie (BRRR), WisdomTree (BTCW), Hashdex (DEFI)

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