The Bitcoin market has just undergone significant volatility as the price reached an all-time high. Many futures traders have over-leveraged on long positions, causing the funding rate to rise to 0.06-0.08%, indicating that the market is overheated.

As the price corrected, 42 million USD worth of long positions were liquidated, cooling down the leverage and reducing the funding rate to 0.008%. This suggests that long-term traders are fearful due to losses.

Interestingly, as large futures positions were liquidated and the price fell, traders began betting on short positions. However, the Coinbase premium index shows that American investors are buying back cash, pushing the price to a new peak of 90k USD.

Short-term traders are sensitive to volatility but often act contrary to their predictions.

The trading volume of Binance has far surpassed that of Korean exchanges over the past 6 months!

- May 2024: Binance 723T, Korean exchange 33T. 21.9 times.
- June 2024: Binance 474T, Korean exchange 163T. 2.9 times.
- July 2024: Binance 584T, Korean exchange 18T. 32.4 times.
- August 2024: Binance 508T, Korean exchange 17T. 29.9 times.
- September 2024: Binance 324T, Korean exchange 11T. 29.5 times.
- October 2024: Binance 437T, Korean exchange 25T. 17.5 times.

On average, the trading volume of Binance is 22 times higher than that of Korean exchanges. This demonstrates Binance's strong position not only in Korea but also globally. With high liquidity and easy trading, Binance continues to be the top choice for many cryptocurrency investors.

The increase in Bitcoin price has led to a rise in active addresses, indicating that many people have taken notice and are attracted to the market. Those who have never participated in the cryptocurrency market before are beginning to join in, contributing to the Bull Run. This will drive prices in the crypto market, and we may see price increases in altcoins.

Cryptocurrency exchange trading volumes surged to their highest since March during and after the US presidential election last week. Bitcoin and USDT inflows into exchanges also surged, fueled by investor activity.

Binance led the way with large USDT and Bitcoin inflows, receiving $7.7 billion USDT during election week. Coinbase received $4.3 billion USDT, and other exchanges totaled $6.5 billion. More USDT on exchanges means higher liquidity and trading activity.

Bitcoin inflows into Binance reached 20k Bitcoin on election day and 26k Bitcoin two days later. Coinbase received 23k Bitcoin on November 5 and nearly 44k Bitcoin in the following two days.

Cryptocurrency trading activity in the perpetual futures market reached its highest volume since March, $1.1 trillion, with 43% on Binance. Other exchanges such as OKX, Bitget, and Bybit also saw large volumes.

Trump’s victory appears to have boosted investment demand for Bitcoin and cryptocurrencies, pushing Bitcoin to a record high of nearly $90k.

Tether's cash flow reaches a new record as it surpasses 1.3 billion USDT on exchanges for the second time in just 6 days.

Increased purchasing power: A large amount of stablecoins flowing into exchanges provides strong purchasing power, which could boost the demand for Bitcoin and other cryptocurrencies, especially if this capital is used strategically.

Bitcoin continues to reach new highs, with an increasingly active long-term position in the futures market. This has pushed funding rates to rise sharply, a pattern often seen after halving events. While there may be short-term corrections, this is not a sign of the end of the bull market. On the contrary, high funding rates often signal the beginning of a new growth phase.

In the spot market, long-term investors have completed the accumulation phase and are starting to distribute to newcomers. UTXO analysis shows that medium-term investors (6-18 months) are realizing profits. Their average purchase price ranges from $57K (6-12 months) to $28K (12-18 months). This activity has been observed in previous growth cycles without ending the bull run.

Doubts about the bull market are decreasing, and public interest may gradually increase.

The Hamster Kombat (HMSTR) token price just surged 120%, but on-chain activity has been quiet, with only about 2% of TON transactions involving the token. This price increase seems more speculative than due to solid fundamentals.

However, Hamster Kombat has over 100 million monthly active users in their game. If the number of transactions is indeed increasing, this would indicate that demand for the token is returning.

Bitcoin has just broken past its previous high and is in a new price discovery phase, but there are signs of a short-term correction.

The futures market has increased its open interest by more than $16 billion over the past week, indicating that leverage is increasing sharply.

Funding rates have reached their highest levels since late March, when BTC began its major correction.

However, the current market structure is very solid, and a short-term correction could be a healthy move to normalize leverage.

As long as the cyclical index does not signal risk, the correction can be viewed as a buying opportunity.

Ethereum has just reached its highest level of the year, creating new optimism in the market community. Many expect a new bullish trend may be forming. However, analyzing future market sentiment can provide insights into short-term volatility.

The funding rate for ETH futures has recently remained positive, indicating optimistic sentiment. As Ethereum surpasses the $3K threshold, optimism surges, similar to the price increase in March 2024. However, high funding rates can be a warning sign of an overheated market.

In the current context, with high funding rates, the risks of volatility and corrections increase. An overheated market could lead to rapid sell-offs if liquidations occur. Investors should carefully manage risk, anticipate short-term volatility, and prepare for potential fluctuations.

Bitcoin surpasses $88,000 USD, short-term investors are tending to take profits. They are transferring Bitcoin to Binance, creating selling pressure on this exchange. This concentrated flow may affect liquidity and prices, impacting the broader market.

🔍 Important to note:

- Flow: The increase in the amount of BTC sent to Binance may signal a selling intention, causing short-term pressure on prices.

- Price impact: This movement could lead to larger fluctuations on Binance, creating opportunities for those looking to take profits and buyers waiting for prices to drop.

Monitoring the flow of BTC to Binance is necessary to understand market behavior and predict price volatility.

Bitcoin is surging, causing a stir in the market. To determine the peak of the bullish cycle, let's consider two important network indicators.

- "Bitcoin Active Addresses (7D)" shows the number of active wallets. Currently, there are 1 million active addresses each day, while the previous cycle peak was 1.2 million. This indicates that on-chain transactions are not too heated yet.

- "Bitcoin Transaction Fees (7D)" shows the average fee per transaction. At previous cycle peaks, fees were around 25 USD, and currently, they are stable at 1.21 USD. However, with network expansion efforts like Ordinals and Bitcoin Layer 2, fees may increase more frequently.

In conclusion, these two indicators suggest that the Bitcoin network is stable and there is room for network activity and prices to rise to the peak of the cycle.

Bitcoin sets a new record, reaching ATH $86,725!

- After the US elections, the Coinbase Premium index turned positive, indicating that American investors are flocking to Bitcoin as uncertainty decreases.
- The price of Bitcoin on Coinbase is $168 higher than on Binance, demonstrating strong interest from the US.
- Spot ETF trading volume hit a record on Monday after the elections, with BlackRock (IBIT) surpassing $2.5 billion in just the first few hours.
- 2024 continues to be a year where American investors shape the market, closely monitoring the Coinbase Premium index to capture trends.

Thank you for following!

Bitcoin investors are always curious about when the next peak will occur. Two charts that often cause misunderstanding are Open Interest and Supply in Profit.

- **Open Interest:** It is difficult to determine the causal relationship between price and open interest. Historical data shows that price impacts open interest more. With the development of the futures market and the acceptance of BTC, open interest is expected to increase in the coming years.

- **Supply in Profit:** Reflects the profitability of the BTC network. When BTC peaks, profits often rise sharply. However, it is important to consider how long extreme profits last.

Two useful charts for assessing the market:

- **Funding Rate:** Helps identify when the market is overly optimistic, which may signal a nearby peak. Currently, this level has not reached extremes.

- **SOPR (Spent Output Profit Ratio):** Uses a 30-day moving average to reduce noise. The current level does not indicate an overheated market.

Bitcoin prices are rising again, along with an increase in open interest, indicating that trading volume and open futures positions are on the rise. This trend has led to a significant increase in liquidations.

Interestingly, short position liquidations are outpacing long position liquidations, which is a positive signal for growth momentum.

However, quick pullbacks may occur due to highly leveraged long positions being liquidated.

Therefore, trading with tight stop-losses and avoiding excessive leverage may be a wise choice as volatility is also increasing.

The funding rate on Binance is increasing, indicating a rise in long positions.

The open interest on Binance has also reached an all-time high, reflecting optimistic sentiment but may signal that the market is over-leveraged.

This increase in leveraged positions poses a risk of rapid liquidations, which can lead to significant price volatility.

In this situation, it is advisable to avoid over-leveraged trades to minimize risks from sudden reversals.

Bitcoin is in a strong bullish market phase, with many indicators showing continued growth potential. However, some signs suggest that the cycle may be nearing its end.

- Bullish momentum: Indicators such as P&L Index and Bull/Bear Market Cycle Indicator confirm strong bullish momentum.
- Room for growth: Puell Multiple and MVRV Ratio indicate that Bitcoin is not overvalued, opening up opportunities for price increases.
- Confidence of long-term investors: UTXO Age Bands show a solid foundation from long-term investors.

Conclusion: The market is bullish but caution is needed. Investors should closely monitor indicators to avoid surprises before a potential market peak.

The STH-SOPR index indicates whether short-term Bitcoin holders are making a profit or loss when selling. When applying the Bollinger Bands indicator, we can identify times when the price deviates from normal behavior. Exceeding the +2σ band signals an overheated market, while falling below the -2σ band may indicate a downturn.

History shows that when STH-SOPR deviates significantly from the upper band, the price often corrects downwards; conversely, deviating from the lower band is a signal of a bullish reversal. Although the long-term trend may continue to rise, short-term volatility often reverses when STH-SOPR deviates strongly from the standard bands.

With BTC surpassing $80k, STH-SOPR has exceeded the upper +2 SD band. Even though short-term holders are in profit, they are not rushing to take profits, possibly expecting a stronger price increase. If the SD band expands and STH-SOPR continues to rise, we may witness a strong rally similar to late 2020.

The current price of BTC is 80,000 USD, providing significant profits for large investors. Specifically:

- Holding 100–1,000 BTC: average purchase price 38,200 USD.
- Holding 1,000–10,000 BTC: average purchase price 41,500 USD.
- Holding over 10,000 BTC: average purchase price 38,500 USD.

All are profitable when the average purchase price is only 40,000 USD, much lower than the current price. The market is in a strong upward trend due to a favorable economic and political environment, allowing BTC to reach new highs. However, the 40,000 USD level remains an important support threshold if significant fluctuations occur.

Activities on Binance, especially the indicators tracking the Bitcoin cash flow, are important indicators for understanding the current market dynamics. History shows that when the Coin Days Destroyed (CDD) inflow indicator on Binance increases, it is usually accompanied by selling pressure from long-held coins, leading to a price correction.

For example, in March 2024, when Bitcoin reached $70,000, the selling pressure from long-held coins on Binance contributed to the price drop. However, currently, even though Bitcoin is approaching the $80,000 mark, there are no signs of significant selling pressure from these coins.

A thorough analysis of the cash flow indicators on Binance, especially the Inflow CDD, helps traders grasp market trends and potential risk factors.

Bitcoin price reaches a new high after Trump wins the election. Coinbase Premium shifts from negative to positive, indicating strong buying pressure from American investors.

Although Trump is seen as the "crypto-friendly president," the price increase shouldn't be solely attributed to the "Trump effect." Some on-chain indicators show a positive trend.

UTXO Age Bands are an important indicator of Bitcoin price trends. Those holding for more than 6 months are redistributing Bitcoin to new investors.

History shows that inflows from new investors often push Bitcoin prices up. Currently, participation from new investors is rapidly increasing.

Almost all investors are in profit, which could trigger FOMO. If the Bitcoin price rises sharply, the percentage of profitable UTXOs could maintain 90-100%.

New investors need to be cautious of FOMO, avoiding over-investment and conducting thorough research before making decisions.