The price of BTC rose and then fell, and failed to hold the $60,000 mark in the short term. Analysts at Bexplus believe that whether BTC will continue to withdraw at this time depends on the overall performance of the market's funding rate.
From the perspective of the overall funding rate rebound, the difficulty of the short-term price recovery of BTC is undoubtedly increasing. Moreover, the difficulty of this price increase is very similar to that of the beginning of January and the end of February. The funding rate has risen sharply to the level of 0.1026, indicating that BTC has encountered a very strong resistance level.
Looking back at the two important price retracements in 2021, they are all related to the recovery of the funding rate. The funding rate is lower than 0.116 on January 11st and 0.154 on February 9th. However, the value is still running at a high level.
In terms of trading volume, the trading volume contracted during the rebound of BTC, which represented a net outflow of funds to USDT and USD. This shows that investors flee in the short term, and shorts have an advantage in market changes.
Mainstream cryptocurrencies such as ETH, DOT, UNI, BNB, and ADA have not reached new highs. This shows that the market has developed to this stage, and the upward momentum of mainstream cryptocurrencies has weakened. Especially after BTC has entered a state of adjustment, the trend of mainstream cryptocurrency is not expected to be optimistic. Therefore, operational attention to adjustment risk is the first thing to do.
DISCLAIMER: The analysis of cryptocurrencies in real-time should be taken for informational purposes only, and in no case should it be taken as an investment signal. Every investment and trading move involves risk. You should conduct your own research when making a decision.