If Bitcoin exceeds $ 50k, indicators will look like a rally that will lead to growth

As Bitcoin finally crosses the $ 50k mark, chain data shows that BTC figures resemble a rally that led to growth at the start of the year.

Bitcoin indicators may show Ath rally repeating since early 2021

As cryptoquant notes, the reserve of derivatives exchanges is dwindling, while the level of funding is becoming positive.

That means that these indicators are now gradually recovering from the May crash and trends are now similar to the pre-bullish one.

The reserve of derivatives exchanges is an indicator that shows the total number of bitcoins found in the portfolios of derivatives exchanges.

These derivatives platforms differ from spot exchanges in that they offer services such as trading futures contracts.

Read / South African Loses $ 900,000 In Bitcoin After Accidental Keys Removed

The increase in the value of this indicator implies that more investors are sending their BTC to these exchanges for sale purposes. In such a case, there may be sales pressure in the market. Similarly, a positive value could mean there is pressure on the market from buyers.

Here’s the latest chart of the reserve of bitcoin derivatives exchanges:

The value of the indicator seems to be falling

As you can see from the chart above, the value of the indicator is slowly moving in a downward trend, returning to values observed before the May crash.

The chart also highlights that this downward trend now looks similar to what was observed before the bull run began.

Read On The Topic / Cryptorynok Goes Into “Extreme Greed”, What Does This Mean For Bitcoin

Another key indicator here is the proportion of bitcoin Funding. This indicator shows what commissions derivatives traders must pay to keep their positions open. The chart below will show the current trend:

Funding level is starting to improve slightly

Curve this indicator also looks similar to the trend seen in the period before it

Join the Discussion

  • BrokerEUR/USD
    City Index 0.5pips (fixed) margin: 3.33%
    ETX Capital 0.6pips (variable) margin: 3.33%
  • Back to top