According to a new report published by Bitfinex, the Bitcoin (BTC) price made a significant recovery today, reaching $70,000. This represents an increase of more than 30% from the low point on July 5, which was previously predicted to be the bottom.
The upward momentum coincided with the Bitcoin 2024 conference. The Bitcoin options market initially experienced an increase in implied volatility, but this has since decreased as traders reduced their exposure. As the major options expiration approaches on Friday, August 2, analysts expect consolidation and even potentially a small pullback in the market.
Despite the general resistance being broken, there was a net selling in the market last week. According to the report, this is due to the desire to take profits and BTC's Mt. Gox was to be distributed gradually to its creditors. However, the market absorbed these sales well, showing that stronger buyers have stepped in.
According to analysts, the realized price for short-term wallets is currently at $65,700 and acts as solid support. The number of open positions in the futures market also increased, indicating the revival of leveraged trading. Despite the sell-off in the spot market, leveraged long positions are supporting prices.
Looking ahead, the direction of the market will be very important, according to the report. Decreasing implied volatility and increasing leveraged positions indicate that the market may stagnate or move in a range in the short term. An interesting week awaits Bitcoin as important support levels are maintained and bullish momentum increases.
*This is not investment advice.