Bitcoin (BTC) and Ether (ETH) have steadily climbed to record levels, leading to massive increases in volume and unlocking interest in the bitcoin futures market. The term “open interest” refers to the total amount of transactions active in the bitcoin derivative market. The Bitcoin futures market is currently at an all-time high, which is currently at $ 27.43 billion.

After Coinbase is listed, traders and investors generally expect Bitcoin and Ether to continue rising. But there are also short-term bearish incidents due to various factors such as the potential “sell news” scenario and the overheating futures market.

Taurus listing after Coinbase
Bitcoin’s price should theoretically be $ 70,000 when listed on Coinbase, according to Adam Cochran, partner at Cinneamhain Ventures. The investor said the reason for the gradual trend in BTC is the use of strong influence in the Bitcoin futures market, leading to a drop in BTC when the derivatives market warms up.

High leverage can lead to short-term depreciation because when there is a large proportion of high-fulfilling or highly desirable supply orders in the market, the funding rate increases. Funding is the mechanism that Bitcoin futures exchanges use to balance the market.

When there are more buyers in the market, the financing rate increases. When the funding ratio increases, buyers must compensate the card sellers for a portion of the position. Since buyers have to pay sellers every eight hours to keep their positions open, this becomes less attractive for long Bitcoins, making them vulnerable to a downfall. Cochrane SA:

“It’s crazy that we got to a new BTC note the day before the Coinbase listing, starting 6 months ago with releases and updates, a new institutional app with ETFs, etc., 2017 not yet. It just looks like … on the go? ”
“The only reason Bitcoin has not reached the $ 70,000 level yet is because young children don’t know how to benefit without being massive nuclear power all the time,” he added.

Despite the fact that the bitcoin price is at a consistently high level, the RSI is lower than it was during the previous peak of the rally in 2017. As the bitcoin price fell sharply in a short period of time, the RSI was around 95. Currently, the index Relative strength is 92, which is below the peak of the 2017, 2013 and 2011 highs.

PlanB, the creator of the Stock-to-Flow index that expects bitcoin to hit $ 200,000, said that BTC had to rise for $ 92,000 to overtake RSI 95. The analyst said, “#Bitcoin is looking at the RSI a lot.92. ”

Bitcoin price is rising exponentially in anticipation of Coinbase’s public listing. Investors and traders generally believe that the cryptocurrency market will continue its upward trajectory after Coinbase is listed, largely due to the strong market dynamics. However, some believe that the list, which will be traded under the symbol “COIN”, will be a temporary peak for the cryptocurrency.

Network data also indicates that Bitcoin is well positioned to see a wider rally. Elias Seamus, protocol specialist at Bison Trails, said Bitcoin availability between addresses ranging from 100 to 1000 BTC has reached its peak. This indicates that the number of high net worth investors owning bitcoin is increasing. exclude:

“The $ BTC bid for addresses containing 100 to 1000 coins has peaked! This growth is attributed to both slightly lower cohorts (1-100) and above (1-10K). Rearmament continues.”
Aside from Bitcoin’s technical and fundamental strengths listed on Coinbase, the overall sentiment surrounding the event remains overwhelmingly positive. Nick Carter, a longtime bitcoin investor and researcher, said COIN claims to be one of the most explosive IPOs on the US stock market:

“Because counterinsurgency claims to be the most explosive public list ever; GBTC GLD is the largest tracker of commodities; and BTC exceeds the monetary base value against the pound sterling; take a moment to tell. Then we get back to work.”
While much of the interest stems from the debut of a major US cryptocurrency exchange on the stock market, the Coinbase economy has impressed investors in the traditional financial market. Anthony Pomplano, a well-known Bitcoin investor and co-founder of Morgan Creek Digital, indicated in early April that Coinbase has generated more revenue in the past 90 days than it did in 2020.

Source: CoinTelegraph