Bitcoin Seeks Breakout at $90K as Shorts Stack Up
Bitcoin's price has been steadily rising, nearing its September high of $86,597. The cryptocurrency is currently trading at around $86,300, a 9% increase from earlier in the month. According to on-chain analyst James Check, futures leverage has been declining, and funding rates have remained below 4%.
One key area of focus is the largest overhead liquidation cluster, which sits near $90,000. This cluster is significant because it represents a level at which leveraged shorts would be forced to close their positions, leading to a potential buying frenzy and a sharper move upwards.
In contrast to previous cycles, long-term holders have not been forced to sell their coins, even as the price has risen. This suggests that the current bull market is different from past cycles, and that investors are not expecting a correction to match previous downturns.