Bitcoin

Arthur

Within 24 hours, liquidated bitcoin leveraged positions spiked to over $41 million, with shorts accounting for more than $37 million of this amount. The largest cryptocurrency by market capitalization witnessed a 5% increase in the past day.
This uptick in <a href="https://financefeeds.com/bitcoin-price-action-proves-that-todays-sec-decision-will-trigger-sell-off/" rel="noopener noreferrer nofollow">Bitcoin's price</a> coincided with the expiration of a significant number of bitcoin options on Friday. Prior to the expiry, there were 94,000 bitcoin options set to expire, featuring a put-call ratio of 0.51. This ratio is often seen as a bullish sign for the asset.
Following Friday's expiry, the open interest in bitcoin options has seen a notable decline, easing the derivatives market's pressure on the digital currency.
Earlier in the week, <a href="https://financefeeds.com/bitmex-founders-pay-20-million-settle-aml-violations/" rel="noopener noreferrer nofollow">BitMEX Co-Founder Arthur Hayes</a> had a different outlook, predicting a continuous decline in bitcoin's price. Hayes forecasted a 30% correction from the post-ETF approval high of $48,000, suggesting a support zone between $30,000 and $35,000 for bitcoin.
Despite these predictions, bitcoin rebounded this morning. <a href="https://financefeeds.com/grayscale-sees-2-2-billion-outflows-amid-shift-towards-bitcoin-etfs/" rel="noopener noreferrer nofollow">Grayscale’s GBTC</a>, which is in the process of converting to a spot ETF, witnessed slowing outflows for the third consecutive day. The outflows on Jan. 25 were $394.1 million, showing a decrease from the previous days, yet still significant. A significant portion of this exodus is attributed to FTX’s bankruptcy estate, which reportedly dumped 22 million GBTC shares, amounting to close to $1 billion.
The Grayscale Bitcoin Trust, which had operated as a closed-end fund for a decade, accumulated nearly $30 billion in assets before the U.S. Securities and Exchange Commission (SEC) approved its conversion into an ETF, along with the approval of 10 newly created bitcoin ETFs.
In contrast, the newly launched spot bitcoin ETFs, including those from <a href="https://financefeeds.com/blackrocks-ethereum-etf-stalls-as-sec-chair-throws-cold-water/" rel="noopener noreferrer nofollow">BlackRock</a>, Fidelity, and others, have not experienced any daily outflows yet. IBIT recorded the highest inflows on Thursday with $170.7 million, followed by FBTC and BITB. However, these inflows were not sufficient to offset the GBTC outflows, resulting in a net outflow of nearly $80 million.

Bitcoin rebound triggers $100 million in short liquidations

FinanceFeeds

Other articles published on Jan 26, 2024

SatoshiVM Price Prediction: SAVM Plummets 62% As This GameFi Upstart Closes On $7.5 Million In Pr...

Estonia Renews U.S. Extradition of Crypto Businessmen Accused of $575 Million Ponzi Scheme: Report

Football Star Cristiano Ronaldo Plays Football with Binance NFT Holders Amid Lawsuit

Binance and SEC still in contentious battle, but there’s a turn

WEEKLY ACCESS KEY RAFFLE

XRP Ledger’s Clawback Feature Wins Consensus, Boosting CBDC Prospects

Join our free newsletter for daily crypto updates!