Bitcoin

Bitcoin Traders Are Frantically Buying Dips As Open Interest Surges To 380,000 BTC

The majority of the cryptocurrency market did not anticipate Bitcoin’s decline below $16,000 merely a week ago. The response of traders and investors was, however, not as negative as one might believe.

Bitcoin Traders Are Frantically Buying Dips As Open Interest Surges To 380,000 BTC 3

Market participants are actively longing the first coin, without looking back at yesterday’s events, according to on-chain and market data.

The market experienced a spike in open interest on derivatives trading platforms almost immediately after the price fell below $16,000, which was represented in an exponentially rising number of long orders.

The behavior of investors who have their money trapped on the FTX market is the most intriguing aspect of this pattern. Despite the most recent price action, the vast majority of traders who are unable to withdraw money from the renowned exchange are developing exceptionally high risk tolerances and betting nearly all of their portfolios on the growth of the first cryptocurrency.

Unfortunately, the rationale for their choice is entirely psychological because the majority of users think it will be hard to withdraw their money, and the sense of helplessness is what drives people to make unorthodox financial choices.

FTX and FTT scenario – Bitcoin

To conclude that the cryptocurrency market slump brought on by the FTX and FTT scenario has ended is premature, though.

A number of market participants, including funds like Galaxy Digital, Sequoia Capital, and DAOs like TrueFi, are at extremely high risk due to the bankruptcy of one of the largest cryptocurrency exchanges in the world.

In a few hours, millions of dollars’ worth of SOL cryptocurrency will be released from staking, perhaps producing a market calamity that could trigger yet another market decline for Bitcoin.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Join us to keep track of news: https://linktr.ee/coincu

Website: coincu.com

Annie

CoinCu News

Annie

Championing positive change through finance, I've dedicated over eight years to sustainability and environmental journalism. My passion lies in uncovering companies that make a real difference in the world and guiding investors towards them. My expertise lies in navigating the world of sustainable investing, analyzing ESG (Environmental, Social, and Governance) criteria, and exploring the exciting field of impact investing. "Invest in a better future," I often say. That's the driving force behind my work at Coincu – to empower readers with knowledge and insights to make investment decisions that create a positive impact.

Recent Posts

Bitcoin Trader Turned $100M in His 20s—Now Reveals 5 Altcoins to Build a $50M Portfolio, With Memecoins Leading the Way!

As Bitcoin reaches unprecedented heights and the market surges, he's highlighting five altcoins poised for…

1 hour ago

Which Crypto Will Explode in the 2024-2025 Bull Run?

With the crypto market reaching new peaks, many are eager to discover digital currencies poised…

1 hour ago

Dogecoin and Shiba Inu Approach $1, but All Eyes Are on XYZVerse’s Push to $10!

XYZVerse, blending sports passion with meme energy, is set to make a significant impact, uniting…

1 hour ago

Will Bitcoin Crash or Soar Past $105K in 2024?

Will Bitcoin Crash?" seems to be one of the most controversial questions, as the price…

3 hours ago

The Best Crypto for Passive Income? 10% Weekly Gains and 20% Final Surge—Qubetics Mirrors Cosmos’ Early Success!

There’s always that one coin people wish they hadn’t overlooked. For many, Cosmos ($ATOM) is…

3 hours ago

Cosmos Developer Interchain Foundation Sold 3000 ETH Today

Cosmos Developer Interchain Foundation sold 3000 ETH from its ICO today, totaling 21,600 ETH sold…

4 hours ago

This website uses cookies.