Bitcoin Longs Face 'Cleanout' as Price Heads Toward New August Lows

Bitcoin long positions are facing significant threats as the price of BTC heads towards new August lows. Analysts at TradingView warn that leveraged long positions on Binance are being flushed out, with a correlation between open interest and price reaching 0.25 on Thursday.

The relationship between price and open interest (OI) on Binance has entered a state of flux, potentially squeezing long positions built up in the low $60,000 zone. OI represents total active derivative positions, both long and short, and reflects capital commitment in a given market.

CryptoQuant CEO Ki Young Ju says that conditions for a renewed Bitcoin bull market have yet to emerge, stating that 'the stars haven't aligned' for a Bitcoin bull run just yet.