Summary
- About $443 million in buy orders is waiting in the $70,000 to $72,000 range for Bitcoin.
- About $2 billion in long positions is concentrated near $70,000, while more than $5 billion in short positions is clustered around $78,000.
- Investors have spent about $10 million on $70,000-strike put options to hedge against the possibility of a further pullback.
Forecast Trend Report by Period
Bitcoin is sliding toward the key $70,000 support level, with investors stacking more than $500 million in buy orders below the market as they look for a rebound.
Cointelegraph reported on May 29 that spot order books showed 6,235 BTC in bids between $70,000 and $72,000. At current prices, that amounts to about $443 million.
The largest cluster of resting buy orders is concentrated just above $70,000. Traders view that area as a key demand zone that could absorb near-term selling pressure.
Below $70,000, another 1,012 BTC of buy orders has built up around $68,505, worth about $69 million. Bid liquidity drops sharply below $68,500.
Liquidation data also highlight the importance of the $70,000 level. CoinGlass data show about $2 billion of long positions are exposed to liquidation risk near $70,000. By contrast, more than $5 billion of short positions are clustered around $78,000.
The market is also weighing the possibility that, if Bitcoin absorbs liquidity near $70,000 and rebounds, a wave of short liquidations could accelerate the advance.
Technical signals remain weak. Since breaking below support at $74,800, Bitcoin has stayed in a downtrend marked by lower highs and lower lows. The cryptocurrency is now testing the lower end of a descending channel in the $72,000 to $73,000 range.
The relative strength index, or RSI, has fallen to about 33, its lowest level since February. With the gauge still below the neutral 50 mark, sellers remain in control in the short term.
Crypto trader Ardi said the $74,500 to $75,500 range is acting as resistance across multiple time frames. A failure to break above that zone would leave Bitcoin vulnerable to a retest of $71,500.
The options market is also focused on whether $70,000 will hold. On-chain analytics firm Glassnode said investors recently spent about $10 million on put options with a $70,000 strike price. Those contracts gain value when prices fall, indicating market participants are bracing for the possibility of a deeper pullback.
YM Lee
20min@bloomingbit.ioCrypto Chatterbox_ tlg@Bloomingbit_YMLEE
