Bitfinex Report: BTC is consolidating in the $100,000 range, but the market shows signs of stabilization
Bitfinex released an analysis stating that last week, Bitcoin reached a historic high, breaking through $100,000 for the first time and setting a new record of $104,000. This marks a 111% increase from Bitcoin's summer low of below $50,000. However, after the rebound there was a significant correction of 14.84%, which included a rapid drop of 10% in just eight minutes - this is the largest pullback from its current historical high since pre-US election sell-offs.
This correction triggered over $1 billion in liquidations, with $419 million being long positions on Bitcoin highlighting the market's leverage level. Despite severe market volatility, signs of stabilization are emerging. The realized profit indicator once reached a daily peak of $10.5 billion but has now dropped to $2.5 billion easing selling pressure. Futures financing rates have also normalized indicating decreased speculative leverage.
Although ETF inflows slowed slightly over last weekend they remain key support due to continuous profit-taking by long-term holders against this backdrop . As Bitcoin consolidates above $100,000 , mid-term prospects remain bullish and further increases are possible as financing rates normalize and selling pressure eases provided ETF inflows continue to rise . In addition , the Federal Reserve is assessing policy changes that may be adopted by the new government while economy continues to be supported by resilient labor markets and stable consumer demand . However uneven recovery across sectors suggests cautious optimism is needed.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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