BTC derivatives continue to show moderate bullishness, creating a positive outlook for reclaiming $60,000 soon.
Bitcoin (BTC) price dropped 7% on July 8 as it retested the $53,354 level, causing minor damage to bullish positions with $62 million in leveraged longs (buy) being liquidated. However, a subsequent 7% rally to $58,215 in less than 8 hours caught bears off guard, resulting in $96 million in short (sell) positions being forcefully terminated.
On July 8, Bitcoin's price returned to the exact $57,200 level from 24 hours earlier. This liquidation data suggests that the entities betting on a price decline, which caused a 6,350 increase in open interest on July 7—equivalent to $355 million—used high leverage, possibly 20x or more. The price increase on July 8 wiped out all the gains in open interest.
This data helps explain why BTC derivatives continue to show moderate bullishness, creating a positive outlook for reclaiming $60,000 soon.
