Analysis: Bitcoin short positions surge as the market braces for major volatility
According to BlockBeats, on April 29, despite a recent rise in Bitcoin, investors are increasing their bets on its price decline. Data from an exchange shows that in April, short sellers paid an interest rate of around 11% to maintain their short positions, at one point rising to 19%, the highest level since early 2023. At the same time, Bitcoin is undergoing one of the largest accumulation phases in its history.
Strong buying and increased short bets rising at the same time indicate the market may experience significant price volatility, and one side may be "squeezed" or face a reverse shock. Currently, Bitcoin is down 1.6%, quoted at 75,754 US dollars.
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.
You may also like
BUZZ - US stocks related to Greenland surge due to military garrison agreement
Wall Street’s most steadfast bull warns: If oil prices and the bond market worsen, the S&P 500 may first drop to 7,100 points.
Morgan Stanley strategists warn of risks in the energy and bond markets, stating that the S&P 500 may fall by 7% to 7100 points, but they remain optimistic about an earnings-driven rebound by the end of the year.
AI boom hides potential correction risks? ECB board member: If expectations fall short, the market will be fragile
Fabio Panetta, a member of the European Central Bank's Governing Council, warned that technology companies are overvalued, which could expose the market to the risk of a significant correction.
Crypto prices
More
