Bitcoin pushed past $95,000 on Tuesday, drawing attention from traders and analysts who say real buying of the coin, rather than bets on derivatives, is driving the move.
Spot Buying Fuels The MoveThat matters because buying the actual asset signals direct demand for Bitcoin itself, not just betting via futures or options. Short sellers were hit hard; their positions were closed out as prices jumped, and that squeeze added fuel to the advance.
Seems like this rally on Bitcoin is led by spot buying and getting faded by perps as funding goes negative while open interest rises + most spot volume in days.
Some traders are now predicting a quick run to six figures, saying that it is quite clear Bitcoin could reach $100K in the coming weeks and that any dips should be bought.
January’s record for Bitcoin has been modest on average, delivering roughly a 4% gain since 2013. February has tended to be stronger, with an average return of 13%.
These averages do not guarantee the path ahead, but they give traders a context for how the market has behaved in recent years. Market moves can be quick. They can also stall.
Macro Risks And Technical LevelsSafe-haven demand has been in play as geopolitics and questions about central bank independence weigh on global markets. Price action is currently tight, with many saying the market sits inside a narrow band and will likely break out one way or the other.
In the chart below, high spikes of:
If that happens, more buying from everyday investors could push prices higher quickly. But flows can reverse fast too, and large macro surprises or a loss of momentum would test the bulls.
Featured image from Unsplash, chart from TradingView
