In the past 24 hours, Bitcoin's price surpassed the $120,000 mark; however, alongside this increase, there are dangerous signs of market overheating.
Record-Breaking Open Positions on Bitcoin
According to CryptoQuant data, the open position volume on Binance's futures market reached $14.1 billion, marking an all-time high. This indicates a significant influx of new capital into the market, as both individual and institutional investors are actively using leverage. Historical examples suggest that such explosive growth can temporarily push prices even higher.
TBSR Indicator Shows Buyer Pressure
CryptoQuant’s Taker Buy/Sell Ratio (TBSR) climbing to 1.14 reveals a dominance of buyers in the market. While this appetite supports short-term gains, it increases the risk of market peaks, as a shift in sentiment could significantly amplify selling pressure among overly optimistic investors.
Technical Indicator Analysis
Daily charts indicate that MACD and AO remain positive, while RSI climbing to 78 signifies an overbought market. The CMF's drop from 0.23 suggests a slowdown in capital inflow. In the event of a pullback, critical supports to monitor include $120,000, $116,000, and $110,000. Failure to hold these levels could lead to deeper corrections.
Bitcoin's price has reached a new record high, but rising open position data and indicators of overheating point to significant risks for investors.
