BULLISH (0.70)CoinTelegraph

Bitcoin Range Holds Amid Negative Funding Rate

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Bitcoin continues to trade within its established range, demonstrating resilience despite a shift in derivatives market dynamics. The negative funding rate across major exchanges suggests that perpetual swap traders are increasingly positioned for downside moves, while open interest has plateaued, indicating a potential consolidation phase. This combination of negative funding and stagnant open interest often precedes volatility events as market positioning becomes lopsided.

Historically, sustained negative funding rates in range-bound markets have led to short-squeeze scenarios when price breaks upward. The current setup suggests that if Bitcoin can muster momentum above key resistance levels, forced liquidations of short positions could accelerate a move toward the $70,000 threshold. However, traders should monitor spot market flows and broader macroeconomic cues for confirmation of directional bias.

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