Bitcoin Open Interest Update
Over the past hour or so, we’ve seen Bitcoin open interest drop from roughly $28.0 billion to $27.9 billion, a decline of around $100 million.
That kind of drop in open interest often suggests that part of the rally is beginning to lose momentum, with some traders closing positions or reducing exposure. In my view, this likely signals that the short-term top of this pre US open move may now be in, at least for the next few hours.
Bitcoin may continue higher after the US open, but for now, it looks more likely that the market spends some time cooling off before attempting another move upward.
The key thing I’m watching now is money flow. If open interest starts rising again alongside stronger price action, that would suggest more capital is entering the market and traders are stepping back in with conviction. That would be a stronger signal for continuation.
For now, I’m still maintaining my Bitcoin long position, and I have also opened a long position on Shiba Inu.
As always, I’m watching the data carefully and managing trades based on market structure, open interest, and momentum.
Over the past hour or so, we’ve seen Bitcoin open interest drop from roughly $28.0 billion to $27.9 billion, a decline of around $100 million.
That kind of drop in open interest often suggests that part of the rally is beginning to lose momentum, with some traders closing positions or reducing exposure. In my view, this likely signals that the short-term top of this pre US open move may now be in, at least for the next few hours.
Bitcoin may continue higher after the US open, but for now, it looks more likely that the market spends some time cooling off before attempting another move upward.
The key thing I’m watching now is money flow. If open interest starts rising again alongside stronger price action, that would suggest more capital is entering the market and traders are stepping back in with conviction. That would be a stronger signal for continuation.
For now, I’m still maintaining my Bitcoin long position, and I have also opened a long position on Shiba Inu.
As always, I’m watching the data carefully and managing trades based on market structure, open interest, and momentum.
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Ethereum Open Interest Update
In contrast to Bitcoin, Ethereum has seen a significant increase in open interest over the same period.
Over the past two hours, Ethereum open interest has increased by roughly $500 million, which is around a 4.5% increase. That is a major move and not something I would class as normal market noise.
This suggests that capital may now be rotating out of Bitcoin and into Ethereum and the wider altcoin market. If that rotation continues, we could see altcoins outperform Bitcoin over the next couple of hours heading into the US open.
Rising open interest usually means more traders are entering the market and more money is flowing into active positions. When that happens alongside positive price action, it often supports continuation rather than rejection.
For that reason, I would be very careful betting against this move right now. The data is showing strength, especially on Ethereum, and that could be the first sign that the next short-term opportunity is shifting from Bitcoin into altcoins.
This is exactly why we track open interest and money flow in real time. It helps us see where traders are positioning before the wider market fully reacts.
In contrast to Bitcoin, Ethereum has seen a significant increase in open interest over the same period.
Over the past two hours, Ethereum open interest has increased by roughly $500 million, which is around a 4.5% increase. That is a major move and not something I would class as normal market noise.
This suggests that capital may now be rotating out of Bitcoin and into Ethereum and the wider altcoin market. If that rotation continues, we could see altcoins outperform Bitcoin over the next couple of hours heading into the US open.
Rising open interest usually means more traders are entering the market and more money is flowing into active positions. When that happens alongside positive price action, it often supports continuation rather than rejection.
For that reason, I would be very careful betting against this move right now. The data is showing strength, especially on Ethereum, and that could be the first sign that the next short-term opportunity is shifting from Bitcoin into altcoins.
This is exactly why we track open interest and money flow in real time. It helps us see where traders are positioning before the wider market fully reacts.
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Oil Market Update
The oil market is getting hit hard today, and the main reason appears to be a sudden unwind of geopolitical risk.
Over the past few hours, traders have started pricing in the possibility that the U.S. and Iran may be moving closer to a framework agreement to end the current conflict. At the same time, Trump has paused the U.S. vessel escort plan through the Strait of Hormuz, which is being interpreted by the market as a potential sign that diplomacy is progressing.
That is extremely important because a large part of the recent oil rally was built on fear: fear of war escalation, fear of blocked shipping routes, fear of supply disruption, and fear of a prolonged Strait of Hormuz crisis.
Now that those fears are starting to ease, oil is losing the war premium that had been built into the price.
This is why Brent and WTI have both dropped sharply. It does not necessarily mean demand has collapsed. It means traders are rapidly repricing the risk of a major supply shock.
There are still bullish underlying factors, including large inventory draws and ongoing tension in the Middle East. However, right now the market is choosing to focus on the possibility of de-escalation.
For crypto, this is important because falling oil prices can reduce inflation pressure and improve risk sentiment. If oil continues falling, it may support a better macro backdrop for Bitcoin and altcoins heading into the U.S. session.
The key level to watch now is whether oil stabilises after this sharp drop. If it keeps falling, the market is likely pricing in peace. If it suddenly reverses, that would suggest traders are not fully convinced the geopolitical risk has disappeared.
The oil market is getting hit hard today, and the main reason appears to be a sudden unwind of geopolitical risk.
Over the past few hours, traders have started pricing in the possibility that the U.S. and Iran may be moving closer to a framework agreement to end the current conflict. At the same time, Trump has paused the U.S. vessel escort plan through the Strait of Hormuz, which is being interpreted by the market as a potential sign that diplomacy is progressing.
That is extremely important because a large part of the recent oil rally was built on fear: fear of war escalation, fear of blocked shipping routes, fear of supply disruption, and fear of a prolonged Strait of Hormuz crisis.
Now that those fears are starting to ease, oil is losing the war premium that had been built into the price.
This is why Brent and WTI have both dropped sharply. It does not necessarily mean demand has collapsed. It means traders are rapidly repricing the risk of a major supply shock.
There are still bullish underlying factors, including large inventory draws and ongoing tension in the Middle East. However, right now the market is choosing to focus on the possibility of de-escalation.
For crypto, this is important because falling oil prices can reduce inflation pressure and improve risk sentiment. If oil continues falling, it may support a better macro backdrop for Bitcoin and altcoins heading into the U.S. session.
The key level to watch now is whether oil stabilises after this sharp drop. If it keeps falling, the market is likely pricing in peace. If it suddenly reverses, that would suggest traders are not fully convinced the geopolitical risk has disappeared.
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Ethereum Cup & Handle Breakout
Ethereum is currently showing one of the cleaner bullish structures in the market right now.
We can see ETH forming what looks like a cup and handle formation, which is typically a continuation pattern that signals the market is preparing for another move higher.
On top of that, Ethereum has already broken above the top of its current short-term trading range. It has also broken out of the bull flag structure that formed after the recent move upward.
That makes this setup especially interesting because Ethereum is now showing multiple bullish signals at the same time:
A W reversal pattern, followed by a bull flag, alongside a broader cup and handle formation.
When you get multiple bullish formations stacking together like this, and price is already starting to break above the range, the probability of continuation increases significantly.
In simple terms, Ethereum looks strong here.
If this breakout continues to hold, I would expect ETH to keep pushing higher throughout the course of the day, especially if open interest continues rising and money keeps rotating into altcoins.
I am firmly positioned long here. The structure looks bullish, momentum is improving, and Ethereum appears to be setting up for further upside.
Ethereum is currently showing one of the cleaner bullish structures in the market right now.
We can see ETH forming what looks like a cup and handle formation, which is typically a continuation pattern that signals the market is preparing for another move higher.
On top of that, Ethereum has already broken above the top of its current short-term trading range. It has also broken out of the bull flag structure that formed after the recent move upward.
That makes this setup especially interesting because Ethereum is now showing multiple bullish signals at the same time:
A W reversal pattern, followed by a bull flag, alongside a broader cup and handle formation.
When you get multiple bullish formations stacking together like this, and price is already starting to break above the range, the probability of continuation increases significantly.
In simple terms, Ethereum looks strong here.
If this breakout continues to hold, I would expect ETH to keep pushing higher throughout the course of the day, especially if open interest continues rising and money keeps rotating into altcoins.
I am firmly positioned long here. The structure looks bullish, momentum is improving, and Ethereum appears to be setting up for further upside.
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Bitcoin Liquidation Heat Map Update
Looking at the Bitcoin liquidation heat map on Binance, there still appears to be more upside liquidity available today, especially heading into the US open.
There is some downside liquidity building just below $81,000, which is something to be aware of. That area could create a short-term wick or fake move lower before the market continues higher.
However, based on the current momentum, I do not think Bitcoin is likely to fully break down into that downside liquidity zone right now. It looks more like the market may try to fake out weaker longs, shake out late entries, and then continue pushing higher.
My current view is that momentum is still building, and if that continues into the US session, Bitcoin could be propelled toward the $84,000 region by the end of the trading day.
That would be a very bullish signal.
If Bitcoin can continue absorbing liquidity, hold above key short-term support, and then push into the higher liquidation levels, it would confirm that buyers are still in control and that the rally still has strength behind it.
For now, I am watching the heat map closely, but the upside setup still looks more attractive than the downside.
Looking at the Bitcoin liquidation heat map on Binance, there still appears to be more upside liquidity available today, especially heading into the US open.
There is some downside liquidity building just below $81,000, which is something to be aware of. That area could create a short-term wick or fake move lower before the market continues higher.
However, based on the current momentum, I do not think Bitcoin is likely to fully break down into that downside liquidity zone right now. It looks more like the market may try to fake out weaker longs, shake out late entries, and then continue pushing higher.
My current view is that momentum is still building, and if that continues into the US session, Bitcoin could be propelled toward the $84,000 region by the end of the trading day.
That would be a very bullish signal.
If Bitcoin can continue absorbing liquidity, hold above key short-term support, and then push into the higher liquidation levels, it would confirm that buyers are still in control and that the rally still has strength behind it.
For now, I am watching the heat map closely, but the upside setup still looks more attractive than the downside.
When we switch over to the general market liquidation heatmap, the setup becomes even more interesting.
The downside liquidity risk looks significantly lower than what we are seeing on Binance. That suggests a lot of the aggressive short positioning is Binance-specific, with traders trying to short this area and expecting Bitcoin to roll back over.
But that can easily become fuel for the next move higher.
The liquidity around $81,000 may be connected to further short liquidation risk higher up, especially around the $84,000 region. If Bitcoin keeps pushing, those shorts can start getting forced out, creating more buy pressure.
This is the key point:
Downside liquidity can become upside liquidity.
When traders short too aggressively and price moves against them, they are forced to buy back their positions. That is how Bitcoin can suddenly shoot up in a straight line. It is not always organic buying. Sometimes it is forced buying from traders getting liquidated.
So be careful here.
Bitcoin is holding above $81,000, the heatmap is showing clear upside liquidity, Binance traders appear heavily positioned for downside, and if they are wrong, the market can punish them very quickly.
This is starting to look like a proper bullish market.
The downside liquidity risk looks significantly lower than what we are seeing on Binance. That suggests a lot of the aggressive short positioning is Binance-specific, with traders trying to short this area and expecting Bitcoin to roll back over.
But that can easily become fuel for the next move higher.
The liquidity around $81,000 may be connected to further short liquidation risk higher up, especially around the $84,000 region. If Bitcoin keeps pushing, those shorts can start getting forced out, creating more buy pressure.
This is the key point:
Downside liquidity can become upside liquidity.
When traders short too aggressively and price moves against them, they are forced to buy back their positions. That is how Bitcoin can suddenly shoot up in a straight line. It is not always organic buying. Sometimes it is forced buying from traders getting liquidated.
So be careful here.
Bitcoin is holding above $81,000, the heatmap is showing clear upside liquidity, Binance traders appear heavily positioned for downside, and if they are wrong, the market can punish them very quickly.
This is starting to look like a proper bullish market.
Over on Ethereum, it is almost the exact same story.
The liquidation heatmap is showing a huge cluster of liquidity sitting just above the current ETH price, around the $2,435 level. That area is extremely important because there is roughly $1.6 billion in potential liquidations sitting there.
That is a massive liquidity target.
Because of that, I think Ethereum is very likely to continue pushing higher towards that zone. When a market has that much liquidity sitting just above price, it often acts like a magnet. Price starts moving towards it, shorts get pressured, and if the level gets attacked properly, the move can accelerate quickly.
This is not a setup I want to bet against.
This is one I would rather let ride.
When we switch over to the weekly Ethereum liquidation heatmap, the picture still looks bullish. There is more liquidity sitting above price than below, which suggests the upside remains the more attractive direction in the short term.
Yes, there is also liquidity building underneath the current price. But to me, that looks more like underwater short positioning building up as traders keep trying to fade the move.
That is not a major concern right now.
If anything, it can actually give Ethereum more upside punch later. The more shorts build up underneath and around current levels, the more fuel there is if ETH keeps pushing higher.
So the setup is simple:
Ethereum has major liquidity above price.
The $2,435 zone is the key target.
Roughly $1.6 billion in liquidations is sitting there.
The weekly heatmap still favours upside.
For me, this looks like a market that wants to continue higher. Not financial advice, but I would be very careful betting against Ethereum here.
The liquidation heatmap is showing a huge cluster of liquidity sitting just above the current ETH price, around the $2,435 level. That area is extremely important because there is roughly $1.6 billion in potential liquidations sitting there.
That is a massive liquidity target.
Because of that, I think Ethereum is very likely to continue pushing higher towards that zone. When a market has that much liquidity sitting just above price, it often acts like a magnet. Price starts moving towards it, shorts get pressured, and if the level gets attacked properly, the move can accelerate quickly.
This is not a setup I want to bet against.
This is one I would rather let ride.
When we switch over to the weekly Ethereum liquidation heatmap, the picture still looks bullish. There is more liquidity sitting above price than below, which suggests the upside remains the more attractive direction in the short term.
Yes, there is also liquidity building underneath the current price. But to me, that looks more like underwater short positioning building up as traders keep trying to fade the move.
That is not a major concern right now.
If anything, it can actually give Ethereum more upside punch later. The more shorts build up underneath and around current levels, the more fuel there is if ETH keeps pushing higher.
So the setup is simple:
Ethereum has major liquidity above price.
The $2,435 zone is the key target.
Roughly $1.6 billion in liquidations is sitting there.
The weekly heatmap still favours upside.
For me, this looks like a market that wants to continue higher. Not financial advice, but I would be very careful betting against Ethereum here.
Ethereum Open Interest Is Starting To Rise Again
Ethereum open interest is currently sitting around $13.37 billion.
Yesterday, ETH open interest peaked at roughly $14.1 billion around 11:00 UTC, before dropping all the way down to around $13 billion this morning.
That means Ethereum open interest dropped by approximately 7.8% from peak to bottom.
Since then, open interest has already recovered from $13 billion back up to $13.37 billion, which is a rise of roughly 2.85% from the low.
But here is the interesting part.
Ethereum’s price peaked yesterday around $2,421, bottomed around $2,311, and is now only trading around $2,326.
That means ETH price is only up around 0.65% from the bottom, while open interest is already up around 2.85% from the bottom.
So open interest has bounced more than 4x stronger than price.
This tells us market participation is increasing again. More positions are being opened. More leverage is coming back into the market. Yet price has barely moved.
That is not automatically bullish by itself, because rising open interest can be longs or shorts.
But the theory here is simple:
If open interest continues rising while price holds sideways instead of breaking lower, then Ethereum could be building pressure for the next move higher.
Money is coming back into the market.
Participation is rising.
Price is holding the lows.
For now, that makes the Ethereum setup look cautiously bullish.
Ethereum open interest is currently sitting around $13.37 billion.
Yesterday, ETH open interest peaked at roughly $14.1 billion around 11:00 UTC, before dropping all the way down to around $13 billion this morning.
That means Ethereum open interest dropped by approximately 7.8% from peak to bottom.
Since then, open interest has already recovered from $13 billion back up to $13.37 billion, which is a rise of roughly 2.85% from the low.
But here is the interesting part.
Ethereum’s price peaked yesterday around $2,421, bottomed around $2,311, and is now only trading around $2,326.
That means ETH price is only up around 0.65% from the bottom, while open interest is already up around 2.85% from the bottom.
So open interest has bounced more than 4x stronger than price.
This tells us market participation is increasing again. More positions are being opened. More leverage is coming back into the market. Yet price has barely moved.
That is not automatically bullish by itself, because rising open interest can be longs or shorts.
But the theory here is simple:
If open interest continues rising while price holds sideways instead of breaking lower, then Ethereum could be building pressure for the next move higher.
Money is coming back into the market.
Participation is rising.
Price is holding the lows.
For now, that makes the Ethereum setup look cautiously bullish.
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The next thing I’m watching on Ethereum is the funding rate and predicted funding rate index, and honestly, this still looks bullish.
Right now, the predicted funding rate is starting to rise back to the upside. You can literally see the red on the chart beginning to turn back towards green. And historically, when the predicted funding rate starts pushing back towards green, Ethereum price tends to follow. It usually means sentiment is beginning to shift, momentum is starting to build again, and traders are starting to lean back towards upside exposure.
But the more important part is the actual funding rate. The actual funding rate has been dropping to the downside, and that is not automatically bearish. In fact, when we’ve seen this happen in the past, it has often been a bullish setup because it shows the market is getting too aggressively short. Shorts start piling in, funding drops, and then Ethereum begins pushing higher as those short positions get trapped.
So from a funding-rate perspective, Ethereum still looks bullish today. Predicted funding is curling back up, actual funding is cooling off, and that combination suggests the market is not overheated yet. If anything, it looks like Ethereum is setting up to squeeze higher again.
Right now, the predicted funding rate is starting to rise back to the upside. You can literally see the red on the chart beginning to turn back towards green. And historically, when the predicted funding rate starts pushing back towards green, Ethereum price tends to follow. It usually means sentiment is beginning to shift, momentum is starting to build again, and traders are starting to lean back towards upside exposure.
But the more important part is the actual funding rate. The actual funding rate has been dropping to the downside, and that is not automatically bearish. In fact, when we’ve seen this happen in the past, it has often been a bullish setup because it shows the market is getting too aggressively short. Shorts start piling in, funding drops, and then Ethereum begins pushing higher as those short positions get trapped.
So from a funding-rate perspective, Ethereum still looks bullish today. Predicted funding is curling back up, actual funding is cooling off, and that combination suggests the market is not overheated yet. If anything, it looks like Ethereum is setting up to squeeze higher again.
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Bitcoin’s long-short ratio has been drifting lower recently, showing that positioning has been leaning increasingly towards shorts.
On the one-hour chart, that shift is already visible. But the more important signal comes from the one-day chart. Historically, when Bitcoin’s long-short ratio reaches the lower end of the range, it has often marked a point where positioning becomes overly bearish, and the market begins to reset back to the upside.
The last time we saw a similar setup, Bitcoin rallied from around $107,000 to $122,000. The previous time, the move was also strongly positive, with Bitcoin pushing from roughly $85,000 to $110,000. Those are the ranges I’ve highlighted on the second chart.
The key point here is that when funding starts moving negative while price continues moving higher, it usually suggests that short positions are being trapped.
Traders are leaning bearish, but the market is not confirming that bearish positioning. Instead, price keeps grinding higher, forcing those shorts into increasingly uncomfortable positions.
That is how short squeezes build.
So from a positioning perspective, Bitcoin still looks constructive. The long-short ratio is near an area where previous reversals have developed, funding is showing signs of bearish overcrowding, and price is continuing to hold firm. That combination tells me the market may continue squeezing shorts until we eventually see a much sharper move higher.
This is exactly why risk management matters here. You have to respect the volatility, but you also cannot be so cautious that you miss the opportunity. In my view, the risk-reward still favours upside, and that is why I am currently positioned long on Bitcoin.
On the one-hour chart, that shift is already visible. But the more important signal comes from the one-day chart. Historically, when Bitcoin’s long-short ratio reaches the lower end of the range, it has often marked a point where positioning becomes overly bearish, and the market begins to reset back to the upside.
The last time we saw a similar setup, Bitcoin rallied from around $107,000 to $122,000. The previous time, the move was also strongly positive, with Bitcoin pushing from roughly $85,000 to $110,000. Those are the ranges I’ve highlighted on the second chart.
The key point here is that when funding starts moving negative while price continues moving higher, it usually suggests that short positions are being trapped.
Traders are leaning bearish, but the market is not confirming that bearish positioning. Instead, price keeps grinding higher, forcing those shorts into increasingly uncomfortable positions.
That is how short squeezes build.
So from a positioning perspective, Bitcoin still looks constructive. The long-short ratio is near an area where previous reversals have developed, funding is showing signs of bearish overcrowding, and price is continuing to hold firm. That combination tells me the market may continue squeezing shorts until we eventually see a much sharper move higher.
This is exactly why risk management matters here. You have to respect the volatility, but you also cannot be so cautious that you miss the opportunity. In my view, the risk-reward still favours upside, and that is why I am currently positioned long on Bitcoin.
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Bitcoin open interest.
When we look at the one-hour open interest chart, Bitcoin has not yet seen the same aggressive rebuild in positioning that Ethereum has seen. That is important, because Ethereum is currently showing stronger derivatives participation in the short term, whereas Bitcoin is still lagging slightly from an open-interest perspective.
Bitcoin open interest has dropped from around $28 billion down to $26.5 billion, which is a decline of roughly $1.5 billion, or about 5.4%. That is not a small move. That is a meaningful flush in leveraged positioning.
And historically, when we have seen drops in open interest of this size, the first move is not always the final move.
Often, open interest continues to fall further before the market fully resets and begins rebuilding positioning again. So the key question now is simple: was that the full leverage reset, or does Bitcoin need one more open-interest flush before the next major leg higher?
That is the short-term risk.
But when we zoom out to the daily chart, the structure still looks much more constructive. Open interest is still following the market very cleanly from a liquidity perspective.
More importantly, Bitcoin currently has roughly half the open interest it had when price was trading near $125,000, but Bitcoin’s price itself has not fallen by half.
It means that, proportionally, there is still a strong amount of trading interest in Bitcoin relative to where price is today. In other words, the market is not dead. Liquidity has not disappeared. Participation is still there. And if anything, it suggests Bitcoin may be undervalued in the short term relative to the level of derivatives interest still sitting in the market.
So the real question is whether today’s rally can continue strongly enough to bring open interest back into the market. If price keeps pushing higher while funding remains subdued or negative, that becomes a very dangerous setup for shorts. It means traders are leaning bearish, but price is refusing to break down. That is exactly how trapped short positioning starts to build.
If Bitcoin then continues higher, those shorts are forced to cover, open interest starts rebuilding, liquidity chases the move, and the squeeze can accelerate very quickly.
So my read is this: Bitcoin’s one-hour open interest has not yet confirmed the same strength we are seeing in Ethereum, and that means I still need to be aware of short-term risk. But the daily open-interest structure still supports the idea that Bitcoin has room to continue higher.
The market has flushed leverage, positioning is not excessively overheated, and there is still enough participation to fuel another move.
That is why I am staying long, but I am also respecting the risk. This is not a market where you can be reckless. But it is also not a market where you can be so cautious that you miss the move entirely. The opportunity is there, the structure is still constructive, and if open interest starts climbing again while price continues rising,
Bitcoin could squeeze much harder than people expect.
When we look at the one-hour open interest chart, Bitcoin has not yet seen the same aggressive rebuild in positioning that Ethereum has seen. That is important, because Ethereum is currently showing stronger derivatives participation in the short term, whereas Bitcoin is still lagging slightly from an open-interest perspective.
Bitcoin open interest has dropped from around $28 billion down to $26.5 billion, which is a decline of roughly $1.5 billion, or about 5.4%. That is not a small move. That is a meaningful flush in leveraged positioning.
And historically, when we have seen drops in open interest of this size, the first move is not always the final move.
Often, open interest continues to fall further before the market fully resets and begins rebuilding positioning again. So the key question now is simple: was that the full leverage reset, or does Bitcoin need one more open-interest flush before the next major leg higher?
That is the short-term risk.
But when we zoom out to the daily chart, the structure still looks much more constructive. Open interest is still following the market very cleanly from a liquidity perspective.
More importantly, Bitcoin currently has roughly half the open interest it had when price was trading near $125,000, but Bitcoin’s price itself has not fallen by half.
It means that, proportionally, there is still a strong amount of trading interest in Bitcoin relative to where price is today. In other words, the market is not dead. Liquidity has not disappeared. Participation is still there. And if anything, it suggests Bitcoin may be undervalued in the short term relative to the level of derivatives interest still sitting in the market.
So the real question is whether today’s rally can continue strongly enough to bring open interest back into the market. If price keeps pushing higher while funding remains subdued or negative, that becomes a very dangerous setup for shorts. It means traders are leaning bearish, but price is refusing to break down. That is exactly how trapped short positioning starts to build.
If Bitcoin then continues higher, those shorts are forced to cover, open interest starts rebuilding, liquidity chases the move, and the squeeze can accelerate very quickly.
So my read is this: Bitcoin’s one-hour open interest has not yet confirmed the same strength we are seeing in Ethereum, and that means I still need to be aware of short-term risk. But the daily open-interest structure still supports the idea that Bitcoin has room to continue higher.
The market has flushed leverage, positioning is not excessively overheated, and there is still enough participation to fuel another move.
That is why I am staying long, but I am also respecting the risk. This is not a market where you can be reckless. But it is also not a market where you can be so cautious that you miss the move entirely. The opportunity is there, the structure is still constructive, and if open interest starts climbing again while price continues rising,
Bitcoin could squeeze much harder than people expect.
Now looking at the Ethereum liquidation heat map, we can see that yesterday Ethereum pretty much cleared out the major liquidation levels. Since then, a new, very obvious liquidity zone has formed around $2,400.
That tells me Ethereum is likely to revisit the highs at some point. The real question is not whether we move back up there — the question is how low do we dip first before that move happens?
When we zoom out to the weekly heat map, the picture gets even more interesting. There are huge liquidation levels sitting at $2,400 and above, potentially worth tens of billions of dollars. That is exactly the kind of liquidity the market likes to chase.
But below $2,300, there is also a large pocket of downside liquidations that could easily get clipped first. So it would not surprise me at all to see Ethereum flush lower, take out that liquidity, and then reverse back to the upside.
That is why I still see this as a buy-the-dip market.
If Ethereum drops aggressively into that lower liquidity zone, I am not looking at that as a reason to panic. I am looking at that as a potential long opportunity, because the bigger liquidity target still appears to be sitting above the market around $2,400 and higher.
So for me, Ethereum still looks bullish overall. Short-term, we could get a dip. But structurally, this still looks like a market that wants to move higher.
That tells me Ethereum is likely to revisit the highs at some point. The real question is not whether we move back up there — the question is how low do we dip first before that move happens?
When we zoom out to the weekly heat map, the picture gets even more interesting. There are huge liquidation levels sitting at $2,400 and above, potentially worth tens of billions of dollars. That is exactly the kind of liquidity the market likes to chase.
But below $2,300, there is also a large pocket of downside liquidations that could easily get clipped first. So it would not surprise me at all to see Ethereum flush lower, take out that liquidity, and then reverse back to the upside.
That is why I still see this as a buy-the-dip market.
If Ethereum drops aggressively into that lower liquidity zone, I am not looking at that as a reason to panic. I am looking at that as a potential long opportunity, because the bigger liquidity target still appears to be sitting above the market around $2,400 and higher.
So for me, Ethereum still looks bullish overall. Short-term, we could get a dip. But structurally, this still looks like a market that wants to move higher.
On the flip side, Bitcoin is not mirroring Ethereum here.
Ethereum has clearer upside liquidity, but Bitcoin has large liquidation levels sitting underneath price, mainly around $80,000, with a bigger zone lower around $77,000.
On the weekly heat map, there is still a lot of liquidity below. On the 24-hour heat map, there are also heavy liquidations just under current price that have not been taken yet.
That means a downside sweep is still possible today.
This is why I said in yesterday’s video that altcoins actually do not look bad here. Bitcoin may slow down, chop, or dip for a few days, while altcoins start to move better.
For Bitcoin today, the key is direction.
If price starts pushing into the liquidity around $80,000, then I would expect it to continue lower, potentially opening a new range towards $78,000, and possibly the larger zone near $77,000.
But if Bitcoin holds above that area and refuses to break down, then shorts can still get trapped and price can rotate higher again.
So the setup is simple: Bitcoin has liquidity below, Ethereum has stronger upside liquidity, and altcoins may start outperforming if Bitcoin slows down.
Once Bitcoin picks a direction today, I expect it to keep moving that way until the liquidity gets taken.
Ethereum has clearer upside liquidity, but Bitcoin has large liquidation levels sitting underneath price, mainly around $80,000, with a bigger zone lower around $77,000.
On the weekly heat map, there is still a lot of liquidity below. On the 24-hour heat map, there are also heavy liquidations just under current price that have not been taken yet.
That means a downside sweep is still possible today.
This is why I said in yesterday’s video that altcoins actually do not look bad here. Bitcoin may slow down, chop, or dip for a few days, while altcoins start to move better.
For Bitcoin today, the key is direction.
If price starts pushing into the liquidity around $80,000, then I would expect it to continue lower, potentially opening a new range towards $78,000, and possibly the larger zone near $77,000.
But if Bitcoin holds above that area and refuses to break down, then shorts can still get trapped and price can rotate higher again.
So the setup is simple: Bitcoin has liquidity below, Ethereum has stronger upside liquidity, and altcoins may start outperforming if Bitcoin slows down.
Once Bitcoin picks a direction today, I expect it to keep moving that way until the liquidity gets taken.
Right now, I’m around 75% in profit on my trade.
We entered at $80,904, following the analysis I posted this morning, and the trade is now up around $1,495.
So far, the setup is playing out well.
I still think this move can continue higher, because the earlier analysis remains relevant. The latest ETH funding rate, ETH predicted funding rate, Bitcoin funding rate, and Bitcoin predicted funding rate are all still key drivers behind today’s price action.
Aggregated funding has been very negative and is now flip-flopping back and forth. But the important point is this: even when funding dips negative, price is still acting bullish.
That tells me traders are trying to short too quickly.
And when shorts pile in while price keeps rising, that creates more fuel for the upside. So for now, I still see this as a bullish setup.
We entered at $80,904, following the analysis I posted this morning, and the trade is now up around $1,495.
So far, the setup is playing out well.
I still think this move can continue higher, because the earlier analysis remains relevant. The latest ETH funding rate, ETH predicted funding rate, Bitcoin funding rate, and Bitcoin predicted funding rate are all still key drivers behind today’s price action.
Aggregated funding has been very negative and is now flip-flopping back and forth. But the important point is this: even when funding dips negative, price is still acting bullish.
That tells me traders are trying to short too quickly.
And when shorts pile in while price keeps rising, that creates more fuel for the upside. So for now, I still see this as a bullish setup.