"Bitcoin (BTC) panic selling eases amid Middle East tensions… focus on clearing $71,500"

JH Kim

Summary

Bitcoin (BTC) rebounded to around the $70,000 level despite geopolitical tensions in the Middle East, and selling pressure was said to have eased significantly.
On-chain data showed loss transfers by short-term holders (STH) falling to about 3,700 BTC, while Binance open interest (Open Interest) was down about 25% from the start of the year.
With spot buying inflows, a break above $70,000–$71,500 could turn the zone into support and raise the possibility of a return to the $80,000 range.

Forecast Trend Report by Period

Bitcoin (BTC) has rebounded to around the $70,000 level despite geopolitical tensions in the Middle East, with analysts saying selling pressure has eased markedly.

On the 2nd (local time), cryptocurrency-focused media outlet Cointelegraph, citing on-chain data provider Glassnode, reported that the volume of loss transfers by short-term holders (STH) recently fell to about 3,700 BTC on a 24-hour basis. This is a sharp drop from the 89,000 BTC recorded during the mass sell-off in early February.

Derivatives markets also appear to be undergoing deleveraging. Binance open interest has shrunk by about 25% from the start of the year. The unwinding of excessive leverage is seen as having reduced downside pressure.

Spot buying inflows have also been observed, and the market is watching whether Bitcoin can break above the $70,000–$71,500 range. If that zone turns into support, some see the possibility of a return to the $80,000 range.