BlockBeats reports that on January 10th, CoinDesk market analyst Omkar Godbole stated that the current Bitcoin (BTC) market resembles an iceberg, with the surface showing a dominance of sellers and a clear bearish sentiment. However, beneath the surface, bottom fishers are quietly waiting for the opportunity to buy Bitcoin at low prices, potentially providing support for the price.
According to data from Hyblock Capital, the upward trend at the quote level (i.e., market price) in major spot and perpetual futures exchanges has turned into a downward trend, indicating that more traders are willing to sell at market prices.
The order book depth from the quote level (i.e., 0%) to 1% shows a similar pattern. The order book depth represents the total value of buy and sell orders at specific price levels (such as 1%, 2%, 5%), indicating the market's ability to absorb large orders.
Hyblock Capital stated, "There was an upward trend at the quote level, but it has now turned into a downward trend, indicating increased selling pressure, and market makers usually operate at this position. The actions of market makers are similar from the quote level to the 1% area."
Furthermore, considering the recent price fluctuations of Bitcoin, it is not surprising that sellers dominate at the quote level. Bitcoin has fallen from over $102,000 to $94,000, mainly due to renewed concerns about inflation in the United States. On Thursday, the price briefly dropped to $92,500.
What is particularly noteworthy is the continuous rise in market depth from 2% to 5%, indicating that buy orders are increasing relative to sell orders at price levels away from the market price. In other words, buyers are waiting to enter at these price levels.
Hyblock added, "Between 1%-2% and 2%-5%, we see an increase in demand (buy orders gradually exceeding sell orders)."
