Crypto Alliance2023-03-19

THE CURRENT STATE OF MARKET

Despite recent rallies, there has been a significant drop in the estimated leverage ratio for BTC margined Bitcoin futures. A more cautious approach among traders and suggests that the market is not yet heavily influenced by latecomers who tend to use excessive leverage. Another important metric to consider is Long/Short Liquidations, as it provides insights into market sentiment. In October 2022, when the price of BTC was trading around $15,500, we observed a dryness in Short liquidations. However, as the price started to make a sharp push upward, we saw $80 million in Short liquidations at the start of 2023, indicating the number of traders who were short. We are currently seeing a similar trend, with $80 million in Short liquidations following the break of the $26,000 price point. Notably, there are no major long liquidations nearing the $25/$30 million range. As we monitor this metric, we can gain a better understanding of market sentiment and potential price movements. #Bitcoin #Crypto #OnChainMetrics The current on-chain metrics outlook for Bitcoin shows a slight positive bias, with not much heavy short positioning and less involvement of leverage. Short positions are getting rekt as the price breaks new highs, while long liquidations stay within the normal range. the ongoing banking crisis creates more risks in the market, and it will be interesting to see how the US deals with this situation and how the market reacts. So far, the banking crisis has proven to be positive for crypto, as more investors shift funds into the crypto economy..