Despite the cryptocurrency market’s recovery from the recent crash, there is a growing feeling among traders on the exchange Binance There are bearish sentiments.
Three factors indicate that the trading platform’s clients are betting on a continuation of the bearish trend:
- Derivatives funding levels have fallen for three consecutive days;
- The amount of deposits made increased despite the fall in the value of digital assets;
- Traders opened more sell orders than buy orders for virtual currencies.
Derivatives trading platform on Binance It outperforms its competitors in trading volume, so the negative trend observed there could spread to other platforms, and the amount of contract funding will decrease across the entire market. The influx of digital assets into the exchange increases downward pressure on the coin price as their supply increases.
Bitcoin Futures Funding Amount Fluctuates Binance
The ratio between the number of open buy and sell orders is perhaps the most important of the three indicators of a resumption of a downward trend. After reaching bottoms, buyers typically gain the upper hand, while at peaks, sellers take over. Currently, there are 17,4% more open sell positions for cryptocurrencies, signaling an impending dump.
Change in the ratio of Bitcoin buy and sell orders