Coinspeaker 58% of Traders on Binance Are Shorting, What’s Next for Bitcoin?
Bitcoin BTC $98 745 24h volatility: 3.2% Market cap: $1.95 T Vol. 24h: $105.50 B flirted the $100,000 mark today, rising over 2% to reach a record high of $99,480 earlier in the session. This week alone, Bitcoin has surged 9.1%. Despite the impressive rally, Bitcoin faces immense selling pressure. Market sentiment has turned bearish over the past few weeks. Traders are heavily favoring short positions, expecting the price to decline.
According to data highlighted by crypto analyst Ali Martinez, 58.39% of traders on Binance are shorting Bitcoin. The latest long/short ratio chart shows a noticeable disparity: long positions make up only 41.61%, while short positions dominate. The long/short ratio has dropped to 0.71.
58.39% of traders on Binance are shorting #Bitcoin $BTC! pic.twitter.com/nUMZkHcxfD
— Ali (@ali_charts) November 22, 2024
This trend comes with bearish sentiments hinting at a major correction ahead. Such a skewed ratio suggests traders increasingly expect Bitcoin’s price to fall further. Historically, periods of heightened shorting activity can lead to significant volatility. If prices unexpectedly rise, a short squeeze could occur.
Traders would be forced to close their short positions, amplifying upward momentum. Conversely, the dominance of shorts could indicate that traders expect continued bearish pressure as Bitcoin struggles to reclaim key psychological levels.
Bitcoin Sell-Off Looms at $100K Milestone
Similarly, crypto writer “eVelocity” envisioned an unstoppable march to $1 million, predicting even bigger price surges along the way. On the other hand, tech YouTuber Marques Brownlee brought some short-term realism into the mix. Brownlee predicted that a major sell-off would follow once Bitcoin hits $100K, as investors rush to cash out their profits.
Data from Bitcoinity reveals a massive 2,400 BTC sell wall at $100,000, with sell orders stacking higher towards $107,000. These sell orders threaten to cap the milestone rally. While Michael Saylor of MicroStrategy advocates for never selling your Bitcoin, it appears many investors are ready to take profits once the $100,000 milestone is reached.
Prominent crypto analyst and CEO of CryptoQuant Ki Young Ju recently shared an interesting perspective on Bitcoin’s price movement. As Bitcoin’s price surpassed the $100,000 mark on the Chicago Mercantile Exchange platform, many began to discuss where the ceiling is for the market’s largest cryptocurrency.
Bitcoin Soars 40% Post-Trump Win
Bitcoin has surged over 40% since Donald Trump’s election victory, fueled by anticipation of his plans to position the US as the global crypto capital. Even before Trump’s inauguration, barriers to crypto adoption are crumbling. SEC Chair Gary Gensler, viewed by many as a key figure in the “War on Crypto,” has confirmed his resignation on January 20.
With the landscape shifting, optimism is building for a future where the US crypto industry thrives under clear legal and regulatory frameworks. This shift has sparked renewed market momentum, with Bitcoin leading the way. As Bitcoin nears the $100,000 milestone, opinions on what happens next for Bitcoin come into focus.
Joe Burnett, a marketer at Unchained, is firmly in the “up forever” camp. He argued that Bitcoin is still a minor player on the global stage, suggesting that the real price explosion will come with broader corporate and national adoption. “Nobody is ready for what happens after $100K,” he tweeted confidently.
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58% of Traders on Binance Are Shorting, What’s Next for Bitcoin?
