Bitcoin

Material

<div class="sg-post-des">
 More than $15 billion in Bitcoin open interest reaches a predictable conclusion as shorts get squeezed and BTC price action targets $36,000.
</div>
<div class="cointelegraph">
 Bitcoin (BTC) saw classic BTC <a rel="noopener noreferrer nofollow" title="price" href="https://thebittimes.com/tag/price.html">price</a> volatility into the Nov. 7 daily close as a “<a rel="noopener noreferrer nofollow" title="short" href="https://thebittimes.com/tag/short.html">short</a> <a rel="noopener noreferrer nofollow" title="squeeze" href="https://thebittimes.com/tag/squeeze.html">squeeze</a>” took the market near $36,000.
 <figure><img src="https://cdn.thebittimes.com/images/2023/11/08/02f2ddc51887ee8d847546205a0a3978.webp">
 <figcaption style="text-align: center;">BTC/USD 1-hour chart. Source: TradingView
 </figcaption>
 </figure>
 <h2 id="bitcoin-hits-key-short-squeeze-price">Bitcoin hits "key" short squeeze price</h2>
 Data from Cointelegraph Markets Pro and TradingView followed BTC/USD as it reacted amid highly elevated open interest (OI) on exchanges.
 Previously, Cointelegraph reported on the more than $15 billion in OI being apt to spark a fresh round of volatility. Some feared that BTC price downside would result, with the ultimate direction unknown.
 In the end, shorts felt the heat as Bitcoin made swift gains to top out at just below $35,900.
 Analyzing the situation before the move, popular trader Skew and others predicted the event in advance. Skew argued that momentum would increase quickly should $34,800 return — a sequence of events which then came true.
 “Open interest still building up &amp; looking more like <a rel="noopener noreferrer nofollow" title="short" href="https://thebittimes.com/tag/short.html">short</a>s have a higher float in the OI build up here. $34,800 ~ key <a rel="noopener noreferrer nofollow" title="price" href="https://thebittimes.com/tag/price.html">price</a> for a <a rel="noopener noreferrer nofollow" title="squeeze" href="https://thebittimes.com/tag/squeeze.html">squeeze</a>,” he told X subscribers.
 <blockquote class="twitter-tweet">
 Yup there was a significant rise in OI overnight- it seems to be more of the same- shorts aping into passive bids here at the local lows. We have a big rise in OI, perp takers net selling, funding decreasing, and limit bids being filled. A recipe for a nice squeeze up. https://t.co/IgwSR5dIo9 pic.twitter.com/F82fmNnw7F— CrediBULL Crypto (@CredibleCrypto) November 7, 2023
 </blockquote>
 On-chain monitoring resource Material Indiators repeated a previous assertion that $36,000 would stay out of reach this week.
 “You can never say, ‘Never’ in this game, but based on the latest Trend Precognition signals, I'd be very surprised to see BTC move above $36k before the Weekly candle close,” part of a post-move X post read, referring to one of its proprietary trading indicators.
 <figure><img src="https://cdn.thebittimes.com/images/2023/11/08/2d3b069da049dcf3d2b90dd5b5c6d5f1.webp">
 <figcaption style="text-align: center;">BTC/USDT order book data for Binance as of Nov. 7. Source: Material Indicators/X
 </figcaption>
 </figure>
 Fellow trader Daan Crypto Trades meanwhile eyed what he described as “an interesting shift” in derivatives composition.
 Traders on largest exchange Binance were positioning themselves bearish compared to exchange Bybit, he noted, but a “long squeeze” was far from certain.
 “Bybit perpetuals have consistently traded higher than Binance. There's been a clear long interest on Bybit while Binance has been more short orientated during this range,” he summarized.
 An accompanying chart compared the two exchanges’ BTC/USDT perpetual swap pairs, showing Binance trading lower after the short squeeze.
 “Will be very interesting to see how this resolves,” he concluded.
 <blockquote>
 “One thing is clear and that's that Bybit traders are more bullish than Binance traders.”
 </blockquote>
 <figure><img src="https://cdn.thebittimes.com/images/2023/11/08/ed48390740762f7428b7abf3549e65f8.webp">
 <figcaption style="text-align: center;">Binance vs. Bybit Bitcoin perpetual swaps chart. Source: Daan Crypto Trades/X
 </figcaption>
 </figure>
 <h2 id="major-btc-futures-oi-flush-still-to-appear">Major BTC futures OI flush still to appear</h2>
 Financial commentator Tedtalksmacro showed the impact of the squeeze on Binance, where short open interest disappeared.
 Related:&nbsp;Inordinately high — Bitcoin Ordinals send BTC transaction fees to new 5-month peak
 <blockquote class="twitter-tweet">
 BTC shorts obliterated. All of the OI built up earlier today ~$350MM USD, wiped in minutes. https://t.co/E8Ev1lsBWe pic.twitter.com/tHU25fTUt0— tedtalksmacro (@tedtalksmacro) November 7, 2023
 </blockquote>
 BTC/USD traded at $35,300 at the time of writing on Nov. 8, with OI still beyond $15 billion, per data from on-chain monitoring resource CoinGlass.
 <figure><img src="https://cdn.thebittimes.com/images/2023/11/08/ccdf0b799b763043312597f0935d1f5c.webp">
 <figcaption style="text-align: center;">Bitcoin futures open interest chart (screenshot). Source: CoinGlass
 </figcaption>
 </figure>
 This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
 <template data-name="subscription_form" data-type="markets_outlook"></template>
</div>
Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/bitcoin-short-squeeze-sends-btc-price-to-35-9k-as-oi-stays-elevated-tbt69450.html">https://thebittimes.com/bitcoin-short-squeeze-sends-btc-price-to-35-9k-as-oi-stays-elevated-tbt69450.html</a>

Bitcoin 'short squeeze' sends BTC price to $35.9K as OI stays elevated

Table of Contents

TheBitTimes

Other articles published on Nov 8, 2023

SEC May Take a Concrete Step Towards Approval of Spot Bitcoin ETFs

Bitcoin’s scarcity model hints at massive undervaluation

Binance launches in-app Web3 wallet

How Can an AI Startup Help You Ask Better Questions? CogBias AI Has the Solution

October sees a spike in spot trading volume after 4 months of decline

How to Use the Trust Wallet Browser Extension in the Brave Browser

Join our free newsletter for daily crypto updates!