Bitcoin's Price Stuck at $82K: Demand Meets Heavy Supply
Bitcoin's price has been stuck in a sideways range between $76,000 and $82,000 despite strong demand from institutional investors. This demand is evident in the significant inflows into U.S Spot Bitcoin ETFs, which have reached $3.80 billion.
The derivatives market has also contributed to BTC's recovery, with Binance's Open Interest hitting a six-month peak of $10 billion.
However, this strong demand is being met by a heavy supply cluster in the same price range, where 35% of BTC's supply was bought at or above this level. This supply has been fueled by exchange net inflows, which have increased by over 593 BTC.
A recent analysis of liquidity clusters suggests that clearing the larger liquidity cluster above $82,000 could trigger a short squeeze, helping BTC stay above this price level.