Bitcoin longs on Bitfinex have reached a significant low, with current figures at 47,691, the lowest since December 2024. This decline is intriguing for traders as it contrasts previous trends where a decrease in leveraged positions indicated an uptrend in Bitcoin prices. Data from TradingView shows that the count of BTCUSD longs peaked in mid-April and has been descending since, following Bitcoin's surge from around $75,000 to over $110,000. Crypto analytics firm Alphractal notes that historically, increases in Bitfinex long positions have often correlated with price declines, while dips in long positions have preceded price gains. As CEO João Wedson from Alphractal stated, "As long as Bitfinex Long Positions keep dropping, Bitcoin will continue to rise." This relationship aligns with trends observed over the past two years, where major price rallies in Bitcoin often occurred during periods of reduced long positions on the Bitfinex exchange. Conversely, past downturns have been marked by a surge in longs, as seen during the notable price drops in 2022 and early this year.
Decline in Leveraged Bitcoin Longs on Bitfinex Signals Potential Rally
The number of leveraged Bitcoin longs on Bitfinex has hit its lowest since December, which historically suggests a possible price rally ahead.
Jamie Bennett
Crypto Analyst
5 min read
9,065
Analysis
Market Sentiment
Bearish
Neutral
Bullish
News Impact
8/10
Credibility: 8/10
Trading Recommendation
BTC
BTC
BUY
Entry Price
$110000
Confidence
80%
Stop Loss
$108000
Take Profit
$112000 - $115000
The decline in leveraged longs on Bitfinex indicates potential bullish momentum for Bitcoin, suggesting a favorable entry point.
