• About
  • FAQ
  • Earn Bitcoin while Surfing the net
  • Buy & Sell Crypto on Paxful
Newsletter
Approx Foundation
  • Home
    • Home – Layout 1
  • Bitcoin
  • Ethereum
  • Regulation
  • Market
  • Blockchain
  • Business
  • Guide
  • Contact Us
No Result
View All Result
  • Home
    • Home – Layout 1
  • Bitcoin
  • Ethereum
  • Regulation
  • Market
  • Blockchain
  • Business
  • Guide
  • Contact Us
No Result
View All Result
Approx Foundation
No Result
View All Result
Home Regulation

Analyst Points to Increasing Caution in Bitcoin Market Despite Price Surge

approx by approx
December 23, 2023
in Regulation
0
189
SHARES
1.5k
VIEWS
Share on FacebookShare on Twitter


In the past week, Bitcoin recorded an overall positive performance, gaining by 3.45%, according to data from CoinMarketCap. This price rise adds to BTC’s bullish form in the last 30 days, during which the maiden cryptocurrency has surged by 16.78%. However, despite this market uptick, there appears to be a growing trend of caution among Bitcoin traders, indicating fear of a potential price dump. 

Analyst Highlights Evidence Of Growing Caution In The Bitcoin Market

In an X Post on Saturday, popular crypto analyst Ali Martinez shared an interesting observation regarding the Bitcoin market with his 37,000 followers. 

According to Martinez, there is a significant decrease in the estimated leverage ratio in the BTC market across all exchanges. This indicates that traders are reducing their leverage risk and are now treading carefully in the BTC market, even amidst the current price gain. 

As #Bitcoin price climbs, we see a decrease in the Estimated Leverage Ratio – a sign that traders are reducing their leverage risk. This suggests a more cautious approach in the #crypto market despite the $BTC price uptick. pic.twitter.com/421FjfyV6b

— Ali (@ali_charts) December 22, 2023

For context, leverage is a trading function that allows users to borrow funds in order to increase the size of a position beyond what would be possible with one’s own capital alone. Leverage allows traders to amplify their profits potentially, albeit it also comes with increased risk. 

Now, the Estimated Leverage Ratio is a metric that quantifies the extent to which traders in the market are using leverage. Thus, a decreased estimated leverage ratio implies that traders are reducing the amount of borrowed funds relative to their own capital in their positions. In other words, they are decreasing the level of leverage they are using, which can be seen as a sign of caution among traders against a potential market dump. 

The BTC market, which is currently on an uptrend, has witnessed similar puzzling events recently. On Friday, NewsBTC reported that Bitcoin whales sold 50,000 BTC worth $2.2 billion in the last week. All these movements are indicative of investors preparing for a possible bearish trend. 

BTC Price

At the time of writing, Bitcoin trades around $43,626, with a 0.09% decline in the last day. Meanwhile, the token’s daily trading volume is significantly down by 29.63% and is currently valued at $17.22 billion. 

For now, there is no clear indicative danger to BTC’s bullish form. Albeit, there is a high level of anticipation in regard to a potential approval order of the spot Bitcoin ETF in January.

While many analysts predict a spot Bitcoin ETF will lead to increased demand for Bitcoin, others are fearful of turning the maiden cryptocurrency into a state-controlled financial asset. However, Bitget chief analyst Ryan Lee anticipates Bitcoin to trade between $32,000 – $50,000 depending on the effects of this investment fund.

bitcoin

BTC trading at $43,576 on the daily chart | Source: BTCUSD chart on Tradingview.com

Featured image from Reuters, chart from Tradingview

Disclaimer: The article is provided for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.





Source link

Related articles

Bitcoin consistently outperforms all major assets despite near-term selloff

Bitcoin consistently outperforms all major assets despite near-term selloff

August 3, 2025
Vitalik Buterin & Tomasz K. Stańczak dropped big news at ETHKyiv 2025

Vitalik Buterin & Tomasz K. Stańczak dropped big news at ETHKyiv 2025

August 3, 2025
Share76Tweet47

Related Posts

Bitcoin consistently outperforms all major assets despite near-term selloff

Bitcoin consistently outperforms all major assets despite near-term selloff

by Moussa
August 3, 2025
0

As global markets hit the skids this week and forced liquidations and margin calls wipe out more levered longs, prominent...

Vitalik Buterin & Tomasz K. Stańczak dropped big news at ETHKyiv 2025

Vitalik Buterin & Tomasz K. Stańczak dropped big news at ETHKyiv 2025

by Moussa
August 3, 2025
0

The following is a guest post and opinion of Rostyslav Bortman, Founder of Ethereum Ukraine.Even in wartime Kyiv, innovation doesn’t...

DEX trading volume tops $1T for the first time in July, Hyperliquid leads record perp surge

DEX trading volume tops $1T for the first time in July, Hyperliquid leads record perp surge

by Moussa
August 1, 2025
0

Decentralized exchanges (DEX) reached $1 trillion in monthly trading volume for the first time in July.According to DefiLlama data, spot...

Crypto tokens explode from 20k in 2022 to 18.9M following launchpad frenzy on Solana, Base, BSC

Crypto tokens explode from 20k in 2022 to 18.9M following launchpad frenzy on Solana, Base, BSC

by Moussa
August 1, 2025
0

The number of tradable crypto tokens has gone parabolic since 2022, with CoinMarketCap now tracking roughly 18.9 million digital assets,...

Vitalik Buterin aims to transform Ethereum’s speed and scalability

Vitalik Buterin aims to transform Ethereum’s speed and scalability

by Moussa
August 1, 2025
0

Ethereum co-founder Vitalik Buterin has outlined a new approach to improve the network’s speed and scalability by rethinking how block...

Load More

youssufi.com

sephina.com

[vc_row full_width="stretch_row" parallax="content-moving" vc_row_background="" background_repeat="no-repeat" background_position="center center" footer_scheme="dark" css=".vc_custom_1517813231908{padding-top: 60px !important;padding-bottom: 30px !important;background-color: #191818 !important;background-position: center;background-repeat: no-repeat !important;background-size: cover !important;}" footer_widget_title_color="#fcbf46" footer_button_bg="#fcb11e"][vc_column width="1/4"]

We bring you the latest in Crypto News

[/vc_column][vc_column width="1/4"][vc_wp_categories]
[/vc_column][vc_column width="1/4"][vc_wp_tagcloud taxonomy="post_tag"][/vc_column][vc_column width="1/4"]

Newsletter

[vc_raw_html]JTNDcCUzRSUzQ2RpdiUyMGNsYXNzJTNEJTIydG5wJTIwdG5wLXN1YnNjcmlwdGlvbiUyMiUzRSUwQSUzQ2Zvcm0lMjBtZXRob2QlM0QlMjJwb3N0JTIyJTIwYWN0aW9uJTNEJTIyaHR0cHMlM0ElMkYlMkZhcHByb3gub3JnJTJGJTNGbmElM0RzJTIyJTNFJTBBJTBBJTNDaW5wdXQlMjB0eXBlJTNEJTIyaGlkZGVuJTIyJTIwbmFtZSUzRCUyMm5sYW5nJTIyJTIwdmFsdWUlM0QlMjIlMjIlM0UlM0NkaXYlMjBjbGFzcyUzRCUyMnRucC1maWVsZCUyMHRucC1maWVsZC1maXJzdG5hbWUlMjIlM0UlM0NsYWJlbCUyMGZvciUzRCUyMnRucC0xJTIyJTNFRmlyc3QlMjBuYW1lJTIwb3IlMjBmdWxsJTIwbmFtZSUzQyUyRmxhYmVsJTNFJTBBJTNDaW5wdXQlMjBjbGFzcyUzRCUyMnRucC1uYW1lJTIyJTIwdHlwZSUzRCUyMnRleHQlMjIlMjBuYW1lJTNEJTIybm4lMjIlMjBpZCUzRCUyMnRucC0xJTIyJTIwdmFsdWUlM0QlMjIlMjIlM0UlM0MlMkZkaXYlM0UlMEElM0NkaXYlMjBjbGFzcyUzRCUyMnRucC1maWVsZCUyMHRucC1maWVsZC1lbWFpbCUyMiUzRSUzQ2xhYmVsJTIwZm9yJTNEJTIydG5wLTIlMjIlM0VFbWFpbCUzQyUyRmxhYmVsJTNFJTBBJTNDaW5wdXQlMjBjbGFzcyUzRCUyMnRucC1lbWFpbCUyMiUyMHR5cGUlM0QlMjJlbWFpbCUyMiUyMG5hbWUlM0QlMjJuZSUyMiUyMGlkJTNEJTIydG5wLTIlMjIlMjB2YWx1ZSUzRCUyMiUyMiUyMHJlcXVpcmVkJTNFJTNDJTJGZGl2JTNFJTBBJTNDZGl2JTIwY2xhc3MlM0QlMjJ0bnAtZmllbGQlMjB0bnAtcHJpdmFjeS1maWVsZCUyMiUzRSUzQ2xhYmVsJTNFJTNDaW5wdXQlMjB0eXBlJTNEJTIyY2hlY2tib3glMjIlMjBuYW1lJTNEJTIybnklMjIlMjByZXF1aXJlZCUyMGNsYXNzJTNEJTIydG5wLXByaXZhY3klMjIlM0UlQzIlQTBCeSUyMGNvbnRpbnVpbmclMkMlMjB5b3UlMjBhY2NlcHQlMjB0aGUlMjBwcml2YWN5JTIwcG9saWN5JTNDJTJGbGFiZWwlM0UlM0MlMkZkaXYlM0UlM0NkaXYlMjBjbGFzcyUzRCUyMnRucC1maWVsZCUyMHRucC1maWVsZC1idXR0b24lMjIlM0UlM0NpbnB1dCUyMGNsYXNzJTNEJTIydG5wLXN1Ym1pdCUyMiUyMHR5cGUlM0QlMjJzdWJtaXQlMjIlMjB2YWx1ZSUzRCUyMlN1YnNjcmliZSUyMiUyMCUzRSUwQSUzQyUyRmRpdiUzRSUwQSUzQyUyRmZvcm0lM0UlMEElM0MlMkZkaXYlM0UlM0NiciUyRiUzRSUzQyUyRnAlM0U=[/vc_raw_html][/vc_column][/vc_row]
No Result
View All Result
  • Contact Us
  • Homepages
  • Business
  • Guide

© 2024 APPROX FOUNDATION - The Crypto Currency News