Bitcoin Futures Under Pressure: $64,000 Support Critical To Avert Long Squeeze

As a seasoned crypto investor with a decade-long journey under my belt, I find myself intrigued by InspoCrypto’s analysis and predictions for Bitcoin’s price movement. The bullish sentiment is palpable, and the technical indicators are aligning in favor of an uptrend.


As an analyst, I find myself observing an intriguing development with Bitcoin (BTC). On Friday, it reached a nearly three-month peak at $66,000. This technical milestone places us at a pivotal moment in the BTC futures market. The possibility of more short squeezes is significant, and it’s crucial to ensure that the price holds steady above the $64,000 support level to avoid any potential reversals.

Divergence Despite BTC Uptrend

Just now, the analyst pointed out in his work that the BTC/USDT price graph reached its peak for Friday at $66,106, indicating optimistic market feelings since the digital currency is still ascending.

For the past day, there’s been a continuous rise in Bitcoin’s value, suggesting investor optimism. However, the True Strength Index (TSI) hints at some uncertainty within the market, but the overall uptrend continues unbroken.

In analyzing market behavior, trade volume is crucial as it reveals patterns. At present, the difference in volume stands at approximately $675.457 million, meaning more buy orders are being executed compared to sell orders. This trend implies that buyers are currently in control of the market, fueling the bullish trend.

To highlight, a substantial number of quick closures, amounting to $331.24 million, have occurred. This suggests that as Bitcoin’s value increases, numerous short trades are compelled to be closed, which adds to the price surge. Meanwhile, long liquidations are relatively modest, implying that those holding long positions are optimistic about the market trend.

Analysis by InspoCrypto reveals that Hyblock Capital’s heatmap demonstrates a significant cluster of short liquidation points in the range between approximately $63,000 and $64,000. This grouping suggests a potential short squeeze, implying that prices might surge further due to this market dynamic.

On the other hand, the analyst indicates that extended liquidation thresholds seem less concentrated, reducing the likelihood of sequential liquidations in the long positions.

Analyst Predicts Further Bitcoin Price Surge

It was also discovered by InspoCrypto that the involvement in Bitcoin future contracts (open interest) is on the rise. This suggests growing market interest and potentially sets the stage for substantial price fluctuations.

As a crypto investor, I’m noticing a significant cluster of open interests hovering around the $64,000 to $65,000 mark on my heatmap. This implies that any price fluctuations surpassing these levels might ignite volatility as traders reposition themselves accordingly.

The funding ratio currently stands at 763.8, indicating that the longs are paying off the shorts, adding to the bullish sentiment in the market. However, the analyst warns that a high funding ratio also signals a risk of long liquidation if the market unexpectedly shifts.

In the coming 24 hours, InspoCrypto expects a persistent rise in price trends due to short positions being forced to buy, or “squeezed.” Yet, high funding fees might trigger the selling off of long positions should the market experience a decline.

According to InspoCrypto’s forecast, if the ongoing buying trend persists, we might see Bitcoin prices approaching approximately $68,000 by the end of the week, which brings us nearer to its peak price of $73,700 recorded back in March this year.

Bitcoin Futures Under Pressure: $64,000 Support Critical To Avert Long Squeeze

At the time of writing, BTC has seen a slight retracement to its current trading price of $65,800. 

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2024-09-27 22:16