Bitcoin shorts surge as price dips below $84,000
Bitcoin's price has dipped below $84,000 following a significant short position opened on the Hyperliquid exchange. Four newly created wallets transferred $4 million in USDC to Hyperliquid and initiated 40x leveraged shorts on 148.49 BTC, valued at approximately $12.5 million. On-chain data from @lookonchain confirmed this activity, which contributed to the downward pressure on Bitcoin.
Technical analysis of the 4-hour chart reveals Bitcoin testing lower Bollinger support near $84,404.95. The EMA50 at $84,924.44 is acting as immediate resistance in a bearish structure, further supported by a MACD death cross. The RSI currently stands at 38.55, suggesting potential downside momentum.
The next logical support level for Bitcoin appears to be the EMA200 at $81,954.95, which could be retested before any potential relief rally occurs. The bearish sentiment is driven by the large short positions and technical indicators pointing to further declines.