With the breakout of the previous all-time high last week, bitcoin entered a price discovery process and this begins to show signs of a high risk of corrections in the short term.
In the last week, more than US$ 16 billion in open positions were added in the futures market, a substantial growth that signaled an increase in leverage.
In addition, financing rates reached the highest value since the end of March, when BTC began a more significant correction.
However, it is important to point out that the fundamentals of the current market structure are much more solid and any short-term corrections that may occur will be healthy movements of normalization in leverage.
As long as cycle indicators do not signal risk, corrections can be understood as buying opportunities.
Written by caueconomy
