Bullish bets on bitcoin, the world’s largest cryptocurrency by worth, reached 11-month highs on Monday, in response to the info from the cryptocurrency trade Bitfinex.
The variety of lengthy positions on bitcoin’s US dollar-denominated trade charge (BTC/USD) jumped to 38,237 BTC at 04:10 BTC – the very best degree since March 30, 2018 – and have been final seen at 36,176 BTC.
Whereas lengthy positions have risen by 35 p.c within the final three weeks, brief positions have remained largely unchanged. In consequence, the long-short ratio, a barometer of market sentiment, has improved to 1.5 from 1.18.
The market temper has certainly turned bullish however hasn’t reached extremes, as lengthy positions are nonetheless at the least eight p.c wanting the document excessive of 40,193 registered on March 26, 2018.
That mentioned, BTC’s rally to five.5-week highs above $three,900 has possible opened the doorways to a convincing transfer above $four,000. That may solely entice consumers, pushing BTC/USD longs to recent document highs.
As of writing, BTC is altering fingers at $three,912 on Bitfinex, the very best degree since Jan. 10. The cryptocurrency would grow to be weak to “lengthy squeeze” – a sudden pullback in costs as a result of an unwinding of lengthy positions – if and when the bullish sentiment reaches extremes.
Disclosure: The creator holds no cryptocurrency property on the time of writing.
Bitcoin picture by way of Shutterstock; charts by Buying and selling View