Bitcoin’s Price is Failing to Convince the Margin Markets That It is Bullish
Bitcoin has been caught within a firm uptrend that has allowed it to shatter its correlation with the stock market as it continues marching higher Despite the overt bullishness of this move, funding rates have been on the brink of being negative on many major trading platforms This shows that demand for short positions remains high, and that traders are widely trying to time its top Furthermore, this trend is observed while looking towards Bitcoin’s […]
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eToro is taking heat after calling in margin trades at the peak of Bitcoin’s record rally. A Wall Street Journal report published Jan. 12 claims European eToro users were given just four hours notice that the platform's margin trading services would be halted on Friday.EToro users were informed they must increase their margin collateral to 100% in an email sent at 4:46 UTC on Jan. 8. The platform closed the contracts of any European crypto trader who didn’t bolster their margin collateral to 100% by 9:00 PM. When the firm called in the margin trades, the users’ crypto was automatically....
Margin Trading Was The Cause? Some theorize there are whales (people with large enough funds that they can make the market shift noticeably) who are pushing (selling lots of Bitcoins) through margin calls. Margin calls is an element of margin trading. A margin trader can deposit funds in a specified account with a related business - in this scenario, digital currency exchanges. Or specifically some have mentioned Bitfinex. Once a margin trader has deposited her or his funds they receive percent of it back as credit. For example, you deposit $5,000 in Bitcoin and you would have your account....
A growing number of analysts have flipped bearish on Bitcoin and expect a significant price drop, but analyzing data from the perpetual futures and options markets uncovers a contrasting narrative. Margin trading allows investors to borrow stablecoins or cryptocurrency to leverage their position and improve the expected return. For example, borrowing Tether (USDT) will allow one to buy Bitcoin, thus increasing their Bitcoin (BTC) long position in. Investors can also borrow BTC to margin trade a short position, thus betting on price downside. This is why some analysts monitor the total....
BEL price creates more bullish sentiment as price struggles to break and hold above the daily 50 EMA BEL looks more stable as bulls breakout of a descending triangle The price of BEL could face major resistance at $1 Bella Protocol (BEL) had a rocky start to the year, failing to live up to its initial hype. However, this could be set aside as the price has recently turned bullish against tether (USDT). Bella Protocol (BEL) has seen more of a downtrend than an upside in the bear market, with the price struggling to regain the bullish structure and failing each time, with Bitcoin (BTC)....
Declining interest in margin shorts and a balanced risk perception in options markets highlight a possible path to $21,500 for BTC price. Bitcoin (BTC) showed strength on Oct. 4 and 5, posting a 5% gain on Oct. 5 and breaking through the $20,000 resistance. The move liquidated $75 million worth of leverage short (bear) positions and it led some traders to predict a potential rally to $28,000.$BTC #Bitcoin Shared this descending channel 2 days ago.$BTC has managed to break through the middle line. Next target = Upper channel trendline = ~21.5k. In case of a breakout, 28k-30k are possible.....