BTC faces crucial support levels amid pullback

Disclaimer: This is not financial or investment advice. You are responsible for any capital-related decisions you make, and only you are accountable for the results.

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• BTC's Open Interest has pulled back slightly, but it still remains relatively high.
• Price was driven up by Spot buying and Shorts being squeezed, although we've now seen this reset.
• Funding rates are fluctuating but mostly remain flat.

BTC's open interest (by USD value):

Technical analysis

• As we found out yesterday, price was driven higher by large Spot buyers (Saylor being a big one), and Shorts being squeezed.
• Price has now remained at the bottom of the mid-level of the range at $95,700. The major range we're looking at now is the $91,700 support and the $98,900 horizontal resistance.
• If the $91,700 support is lost, we'd expect $90,000 to be a potential support as it's a psychological level; however, if that's broken, then $86,000 would be the target.
• To the upside, if the price can climb above $95,700, then $98,900 is the upside target.
• The RSI is now just shy of being overbought, with a bearish divergence now also having formed (higher high in price, lower high on the oscillator).

• Next Support: $91,700
• Next Resistance: $95,700
• Direction: Bearish
• Upside Target: $98,900
• Downside Target: $86,000

Cryptonary's take

Price has climbed higher in a really strong manner, although we'd have preferred that this wasn't somewhat due to Saylor bidding. Price is now close to being overbought, whilst putting in a bearish divergence, whilst also butting up into the horizontal resistance of $95,700.

It's possible that price goes higher here, with $98,900 the likely complete top (should price go higher), however, we remain cautious here and we're expecting a pull back over the coming week, with a larger pull back coming in the medium term.

Whether the price local tops around $95k or $98k is hard to say, but we do believe a local top is close as the macro environment doesn't support BTC clearing above $100k and heading to all-time highs currently.