- •Bitcoin trades near $113,900, with technical analysis suggesting a possible drop to $100K.
- •An OG Bitcoin whale has opened a significant short position against BTC worth $34.9M.
- •Bitcoin’s CME gap has closed, confirming that earlier price movements were completed.
Bitcoin’s price has recently experienced a downward shift, moving away from the $115,000 zone. The latest chart analysis from TradingView analyst Ali Martinez suggests that the cryptocurrency could be facing a continuation of its bearish momentum.
Currently trading around $113,900, Bitcoin has failed to maintain levels above $115,000, leading some analysts to predict a possible revisit of the $100,000 range.
The technical setup observed in Bitcoin’s recent price action shows a series of drops, first below $112,000, then $108,000, and even $103,400. The price is expected to stabilize near $101,800 if this downward trajectory continues.
Increased Short Positions Signal Bearish Sentiment
An intriguing development has emerged in the form of an OG Bitcoin whale, which has significantly increased its short positions. Analyst TedPillows provided data that Whale holds over $53.3 million in assets and currently maintains a 10x leveraged short position worth approximately $34.9 million. The entry price for this position was near $114,600, with Bitcoin trading around $113,200 at the time.
The whale’s strategy has raised eyebrows in the market. Some speculate that this move could be part of a larger strategy to absorb potential losses or mask insider knowledge.
However, others see this as a typical response to market fluctuations, given Bitcoin’s current volatile nature. Ted’s observations suggest that this move could have significant influence, especially if Bitcoin continues its downward trend.
CME Gap Closes but Traders Cautioned on Overvaluing Gaps
Bitcoin’s CME gap, a key indicator for some traders, has also been closed after the market’s recent movements. Analyst Daan Crypto Trades previously noted a small gap below $110,000 after a Sunday rebound.
However, this gap had not been filled due to the closure of the CME market. The updated chart now confirms that the price action has completed the movement. Daan also cautioned traders not to overvalue such gaps, especially when Bitcoin’s trading distance from these levels is significant.