Bitcoin (BTC) has faced substantial pressure over the past two weeks, with a shakeout that wiped billions from the market, particularly affecting long positions. This downturn saw Open Interest drop by more than $10 billion from its peak of $80 billion. Despite this tumult, some indicators suggest we may be approaching a macro bottom.
The shakeout, exacerbated by recent political tensions, liquidated nearly $1 billion in crypto assets, causing Bitcoin's price to plummet roughly 10%, hitting a low around $100,421. This decline may have set the stage for buyers looking to acquire BTC at a discount. In a noteworthy rebound, Bitcoin quickly recovered 5.2% within three days, reclaiming a portion of its losses.
Recent data from CryptoQuant points to encouraging trends within the market. Bitcoin's Realized Cap recently reached an all-time high of $935.10 billion, indicating that a significant volume of Bitcoin has been traded at higher prices, which can reflect trader confidence. This sentiment suggests that many are considering BTC's current price as an opportune entry point.
Additional metrics indicate a growing bullishness among traders. The Fear and Greed Index saw a shift from near fear territory (46) to a more optimistic position of 55, indicating that investor risk appetite is rising. This movement is historically associated with accumulation phases where investors begin actively buying.
Newly created Bitcoin addresses have also seen an uptick, suggesting that fresh buyers are entering the market. In particular, a notable on-chain transaction on June 4 saw around 10,000 BTC moved off exchanges at $104,700 each, underscoring the thesis that a macro bottom might be forming. Following the recent period of deleveraging, characterized as a necessary reset rather than a catastrophic collapse, Bitcoin appears poised for a price rebound once again. As of now, BTC stands at approximately $105k, potentially ready for its next significant rise.
The shakeout, exacerbated by recent political tensions, liquidated nearly $1 billion in crypto assets, causing Bitcoin's price to plummet roughly 10%, hitting a low around $100,421. This decline may have set the stage for buyers looking to acquire BTC at a discount. In a noteworthy rebound, Bitcoin quickly recovered 5.2% within three days, reclaiming a portion of its losses.
Recent data from CryptoQuant points to encouraging trends within the market. Bitcoin's Realized Cap recently reached an all-time high of $935.10 billion, indicating that a significant volume of Bitcoin has been traded at higher prices, which can reflect trader confidence. This sentiment suggests that many are considering BTC's current price as an opportune entry point.
Additional metrics indicate a growing bullishness among traders. The Fear and Greed Index saw a shift from near fear territory (46) to a more optimistic position of 55, indicating that investor risk appetite is rising. This movement is historically associated with accumulation phases where investors begin actively buying.
Newly created Bitcoin addresses have also seen an uptick, suggesting that fresh buyers are entering the market. In particular, a notable on-chain transaction on June 4 saw around 10,000 BTC moved off exchanges at $104,700 each, underscoring the thesis that a macro bottom might be forming. Following the recent period of deleveraging, characterized as a necessary reset rather than a catastrophic collapse, Bitcoin appears poised for a price rebound once again. As of now, BTC stands at approximately $105k, potentially ready for its next significant rise.
