As geopolitical tensions intensify and investors’ feelings get worse, bear pressure continues to spread across Bitcoin spots and derivatives markets.
The uncertainty surrounding global macroeconomic stability has led many market participants to take a risk-off approach. As the second quarter ends, the coin shows signs of vulnerability.
Bitcoin futures are bearish
Bitcoin futures traders are increasingly positioned against coins as coins struggle to gather momentum around the $103,000 price mark.
According to Coinglass, the long/short ratio of coins — a key measure of trader sentiment — has leaned heavily towards shorts since June 17th, raising the belief that BTC’s recent gatherings may have lost momentum. At the time of pressing, the ratio was 0.95, indicating that more traders are betting on Altcoin.
BTC long/short ratio. Source: Coinglass
This ratio compares the number of long and short positions in the market. If the long/short ratio of assets exceeds 1, it can be longer than the short position, indicating that the trader is primarily betting on price increases.
Conversely, as seen in BTC, ratios below one indicate that most traders are positioned for price drops. This reflects a growing bearish sentiment and expectations about the ongoing short-term negative side movement.
Additionally, daily chart readings from BTC’s BBTREND indicators enhance the bearish outlook. As the price momentum of BTC weakens, the size of the green histogram bar on the indicator has steadily declined, indicating a drop in purchasing pressure and a loss of bullish strength.
BTC BBTREND. Source: TradingView
BBTREND is used to measure the strength and direction of price trends. It looks like a histogram bar – it’s green when the trend is bullish and when it’s bearish.
If BBTREND becomes negative or the green bar shrinks, the upward momentum can decay, causing assets to enter the consolidation stage or face inversion.
Consistently negative BBTREND suggests that sales pressure is dominant, increasing the likelihood of an extension of BTC’s price correction.
BTC slips to a two-week low. Would you like to support it with a holding of $102,000?
Yesterday, BTC prices fell to a 15-day low of $102,345. It closed with a rebound at $103,297, but bear pressure remains, with the coin still falling 2% over the past 24 hours.
If new demand continues to be limited, BTC prices can be soaked at $101,520. If the Bulls fail to defend this critical level of support, their assets could plummet to another $97,658.
Bitcoin price analysis. Source: TradingView
Meanwhile, when pressure is increased, BTC can recover and attempt breaks above $103,952. A successful move to pass this level may open the door for a rally towards $106,295.