In this context, the bullish sentiment has been driven by factors such as the proximity of the halving and the enthusiasm around BTC spot exchange-traded funds (ETFs).
In this context, the bullish sentiment has been driven by factors such as the proximity of the halving and the enthusiasm around BTC spot exchange-traded funds (ETFs).
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Bitcoin (BTC) continues to dominate attention in the dizzying world of cryptocurrencies. The leading cryptocurrency is slightly below $72,000, after recently reaching new all-time highs around $72,700according to information from CoinGecko.
The rise of Bitcoin so far this year amounts to 70%, while volatility has experienced a notable increase in recent weeks.
A report from Kaiko Research highlights that 30-day volatility has reached highest levels since April 2023, just after hitting a yearly low just two weeks earlier. In recent days, the cryptocurrency has experienced a significant drop after surpassing $69,000 and $70,000.although current movements seem more moderate.
Experts also highlight that derivatives markets have experienced significant sell-offs, exacerbating volatility. BTC perpetual futures open interest hit a “multi-year” high of $15 billion, before declining by $1.4 billion the next day. Although funding rates have declined from their peak, they remain high, indicating persistent bullish demand.
Bitcoin: what the market expects
Bitcoin open interest, according to CoinGlass, provides crucial information about market sentiment, trading activity, and liquidity. A rising open interest may indicate increasing bullish sentiment, while a falling open interest suggests increasing bearish sentiment..
In this context, the bullish sentiment has been driven by factors such as the proximity of the halving and the enthusiasm around BTC spot exchange-traded funds (ETFs).
Optimism around bitcoin is supported by analysis firms such as Bernstein, which predict that the cryptocurrency will surpass the $100,000 sometime this year. Despite the classic dynamics of supply and demand, bitcoin appears to be a solid diversification option, since its flows point towards higher values.
Source: Ambito
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