When Bitcoin (BTC) briefly hit the $ 55,000 level, a fate was last experienced in May when profitability in that market reached new heights.
On-chain insight provider Glassnode called:
“Bitcoin companies profit has increased to 94.3%. Over 16.2% of all on-chain companies have returned to profitability since the September lows. The last time so many network companies made a profit was before the May sell-off. “
After Bitcoin hit an all-time high (ATH) of $ 64.8,000 in mid-April, Bitcoin suffered on the 19th%. In addition, this drop in price indicated for the first time that BTC had fallen below the 200-day moving average (MA).
The 200 day MA is an important technical indicator in determining general market trend. It’s a line that shows the average closing price for the last 200 days, or approximately 40 weeks of trading.
Still, Bitcoin has picked up speed again as it recently broke the $ 50,000 psychological price tag. The top cryptocurrency is up 21.79% in the past seven days, hitting $ 54,479 during intraday trading, so CoinMarketCap.
Bitcoin Open Interest is increasing
To to the data analysis company IntoTheBlock:
“The futures markets are heating up again. Positive funding rates for Bitcoin Perpetual Swaps on multiple exchanges and up to 0.11% in FTX. In addition, the open interest is over 14 billion US dollars. “
Glass knots too noticed that the Bitcoin open interest in perpetual futures contracts on the Okex crypto exchange had reached a monthly high.
Open interest usually rises with a rise in price, which shows that the two are highly correlated.
In the meantime, more participants are joining the BTC platoon as the number of new addresses on this network has increased lately achieved a 4 month high of 17,818,619.
On the flip side, Bitcoin’s dominance in the crypto space has been on an upward trend, allowing market capitalization to break the $ 1 trillion mark, a milestone first seen in February.
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