Bitcoin price is on the verge of an explosive breakout as a growing number of investors make bets on the direction of the cryptocurrency. Realized Capital, an on-chain analytics resource, has found that in the last 30 days, around 3 percent of the total supply has been transferred — a sign that whales are active in buying and selling BTC. A similar number was seen only twice before in Bitcoin’s history: Immediately preceding the 2017 bull run, when BTC went parabolic to $20,000, and in January 2018, when it climbed to $10,000. Although volatility may be low at present time, bigger price swings are likely once whales have finished their activity
You’ve probably heard of the term “open interest,” but do you really understand it? Open interest is the number of contracts that are outstanding on a futures exchange at a given time, and it’s usually expressed as a ratio to the underlying value of each contract. For example, if there is $1 million in total open interest on an oil futures contract with a price of $50 per barrel, then this means that there are 50 million barrels worth of oil being traded on that particular exchange at any given moment.
Bitcoin Expecting A Turnaround
A quick glance at this chart shows us that Bitcoin has been steadily trending higher since April and recently crossed over its 200 moving average (MA). As BTC crosses above its MA and into new territory it will create an opportunity for those looking for large returns from short-term investments. This could be especially true if there are already more than enough sellers willing to absorb those initial gains before reversing their positions once again.
The current open interest is higher than any other time in Bitcoin’s history. The last time it was this high was immediately preceding the 2017 bull run, when BTC went parabolic to $20,000. It also happened in January 2018, when bitcoin climbed to $10k.
A similar number was seen only twice before in Bitcoin’s history: Immediately preceding the 2017 bull run, when BTC went parabolic to $20,000, and in January 2018, when it climbed to $10k.
