Bitcoin open interest falls by $55B in 30 days: What’s next for BTC price?

💡 DMK Insight

Bitcoin’s drop to $72,702 is shaking up futures trading, and here’s why that’s crucial right now: With futures traders pulling back, it signals a lack of confidence in Bitcoin’s immediate recovery. This trend isn’t just about Bitcoin; it reflects broader market sentiment, especially as we approach key support levels. If BTC continues to slide, we could see a cascade effect, impacting altcoins and related assets like Ethereum. Watch for the $70,000 mark—if it breaks, expect increased volatility and potential panic selling. On the flip side, if Bitcoin finds support here, it could attract bargain hunters, creating a short-term bounce. Keep an eye on trading volumes and sentiment indicators; they’ll provide clues on whether this dip is a buying opportunity or a precursor to deeper losses. Traders should monitor the daily chart closely for any reversal patterns or volume spikes that could indicate a shift in momentum.