Nov 08, 2023

Ethereum Price Surges as Bitcoin Short Squeeze Sends BTC to $35.9K

Bitcoin Price Reaches $35.9K Amidst Crypto XRP and Ethereum Market Activity.
Bitcoin ‘short squeeze’ sends BTC price to $35.9K as OI stays elevated

As the “short squeeze” drove prices towards $36,000, Bitcoin (BTC) witnessed its typical BTC price volatility on the Nov. 7 daily close. Meanwhile, other crypto developments such as the latest ai, cnbc crypto, crypto ethereum, coti crypto, crypto xrp, degrain crypto, coval crypto, daily crypto, and dnt crypto have been making waves in the industry.

Bitcoin hits “key” short squeeze price

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 & looking more like shorts have a higher float in the OI build up here. $34,800 ~ key price for a squeeze,” he told X subscribers.

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 from cnbc crypto and daily crypto, 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.

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, considering the implications for crypto XRP, crypto Ethereum, Degrain crypto, Coval crypto, and the potential for crypto bankruptcies.

Major BTC futures OI flush still to appear

Financial commentator Tedtalksmacro revealed the effects of the squeeze on Binance, where short open interest (OI) vanished. At the time of writing on Nov. 8, BTC/USD traded at $35,300, with OI still beyond $15 billion, according to data from on-chain monitoring resource CoinGlass.

The latest crypto news has been dominated by the bankruptcy of several major crypto-related firms, such as DeGrain and Coval. Moreover, CNBC and COTI have been talking about the crypto market, while DNT and Ethereum have seen a surge in interest.

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