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Bitcoin price hits new June lows while open interest stays above $35B

News Feed - 2024-06-11 10:06:27

William Suberg10 hours agoBitcoin price hits new June lows while open interest stays above $35BBitcoin wobbles further into key U.S. macro events as surging open interest concerns longtime market participants.5527 Total views13 Total sharesListen to article 0:00Market UpdateOwn this piece of crypto historyCollect this article as NFTJoin us on social networksBitcoin dropped under $67,000 into the June 11 Wall Street open as markets staged a classic pre-inflation report comedown.BTC/USD 4-hour chart. Source: TradingViewBTC price dip: “Much ado about nothing?”


Data from Cointelegraph Markets Pro and TradingView showed new local Bitcoin (BTC) price lows of $66,696 on Bitstamp — its worst month-to-date.


Having dropped for almost 24 hours in a row, Bitcoin failed to buck the trend on the day as risk assets prepared for a deluge of United States macroeconomic data and Federal Reserve commentary.


Now down 3.6% on the day, BTC/USD fielded various downside targets from traders, these extending toward $60,000.


“Getting closer to support. Will be looking to enter longs if a reversal presents itself,” popular trader Roman told subscribers on X on the day.“Ultimately I’ve been eyeing the 67k support for over a week so it’s about time we’re getting close.”BTC/USD chart. Source: Castillo Trading


Fellow trader Castillo Trading agreed, focusing on a slightly lower buy zone at around $64,000.


“We knew some downside was possible on $BTC. Was hard to open up fresh longs above $70,000. Now, we are getting into an area I am more willing and comfortable looking to add,” part of an X post stated.


Others called for calm amid overall rangebound price action, with Bitcoin consolidating below all-time highs for nearly three months.


“Week 15 of chopping below the current all-time highs,” popular trader Jelle noted.“We’re off to a red start this week, pushing back into the key support level at $67,500. May be uncomfortable, but nothing has changed. Don’t get shaken out.”BTC/USD chart. Source: Scott Melker


Trader, analyst and podcast host Scott Melker called the latest price action “much ado about nothing.”


“Decent drop today, but simply testing support at the range EQ - still trading in the top half of the range. 3 months into the predictable chop that comes with this part of the cycle,” he reasoned.Open interest presents "high-risk situation”


A note of caution came from market observers monitoring open interest (OI) on derivatives markets.


Related: Bitcoin hash ribbons flash the first buy signal since $25K BTC priceSource: Byzantine General


This hit new all-time highs in June, passing $37.6 billion, in what has traditionally been a classic warning of BTC price volatility.


Bitcoin futures OI decreased as price retreated, data from CoinGlass showed, but remained above $35 billion.Bitcoin futures open interest (screenshot). Source: CoinGlass


For Filbfilb, co-founder of trading suite DecenTrader, the writing was on the wall.


“Price flat, OI up $1.5bn. High-risk situation,” he summarized.


Filbfilb contributed what he called a “worst case scenario” for BTC/USD, this including downside wicks to as low as $45,000.BTC/USD chart. Source: Filbfilb


This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.# Bitcoin# Bitcoin Price# MarketsAdd reaction