Bitcoin [BTC] price moved up from its short term range above $9350. It recorded a high of $9586 on Bitfinex. However, the bulls failed to break above resistance from the 100-Day Moving Average.
BTC/USD 1-Day Chart on Bitstamp (TradingView)
Crypto trader, Josh Rager noted,
About time $BTC, Nice push, battling the weekly open resistance at the moment
Closing above this area would be great – considering the open and interest and funding rate were positive, usually a sign before of a drop
Focus is $9547+ for a daily close
The funding rate on BitMEX has been consistently positive since the 30% flash rise. Moreover, open interest also spiked in the past 24 hours. As Rager noted, this is usually an indication before the drop.
Bitcoin Derivatives Long/Short Ratio on Okex (Source)
Okex witnessed a massive inclination to the short side. The long/short ratio among the top 100 traders dipped below 1 (currently at 0.85). Moreover, on Bitfinex, the long/short ratio changed only slightly.
While overall sentiment remains to be bullish, the strength of the short term bull market continues to battle resistances. On a longer time frame, the resistance is formed by the descending line, which touches the yearly high at $13,880.
BTC/USD 1-Day chart on Bitstamp (TradingView)
This was suggested by Tone Vays in his Trading Bitcoin update the previous day. The downward channel support is at $7000 at the moment, possibly a lower low. The resistances remain around $96o0 and $10,000 for bullish confirmation.