There has been a drop of7% in Bitcoin After its New Record High of $23,770
Even if Bitcoin has created a new record with a good high of more than $23000 but it quickly falls back by more than $1500. It surely turned out to be little surprising but even the cryptocurrency dropped from the all-time high of $23,770 to $22,185. It did not take more than 30 minutes to see such a shortfall. The prices increased by more than $2,000 for reaching a new record which was more than $23700 in the early of none hours of the day. Currently, the value of the Bitcoin is 22,560 which is still high up to 14.37% in last 24 hours.
There seems to be a rally that looks quite solid in nature. In spite of the recent losses that happened the rally is at hike. Besides, the derivate market is also showing no signs of on chain data or even the overheating but strong holding sentiment. Even if the average Bitcoin level perpetual futures “funding rate” all over the major exchanges has increased from 0.005% to 0.036%, but it still remains lesser than the high of 0.093% which was seen in November last month fall too. In short the leverage is not scored too bullish also there is quite a scope for the cryptocurrency to rally further.
As per the eight hours calculation which was made, the funding rate shows the holding price long positions. It is assertive when the trade at perpetual shall be at a premium to spot the price. As such there has been quite a high funding rate which is also considered to be the sign of the leverage which was quite skewered for the side of bullish or even the overbought situation. Besides, there are also no signs of the investors who had been looking forward to book the profits while the price would easily rally for making the high record of more than $23,000.
CBW - External Analyst