‘Violent’ Bitcoin breakout due as BTC open interest nears all-time high

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Bitcoin (BTC) stayed rangebound on the Oct. 6 Wall Road open with merchants already planning for a “violent” breakout.

BTC/USD 1-hour candle chart (Bitstamp). Supply: TradingView

Bitcoin whale exercise highlights the significance of $19,000

Information from Cointelegraph Markets Pro and TradingView adopted BTC/USD because it moved up and down by solely a matter of some hundred {dollars} on the day.

The quantity of $20,000 fashioned a spotlight for the pair, which meandered consistent with consolidating U.S. equities and dollar strength.

With no spot catalyst in sight on quick timeframes, on-chain analytics useful resource Whalemap turned to largescale purchase and promote factors to sketch out doubtless help and resistance.

To the draw back, $19,174 marked the positioning of whale buy-ins, suggesting its continued energy as a line within the sand.

Bullish progress, in the meantime, must deal with a cloud of resistance at $21,500.

“Do not be distracted by the noise,” the Whalemap group commented alongside a chart exhibiting the important thing ranges in a single day.

BTC/USD annotated chart. Supply: Whalemap/ Twitter

As Cointelegraph reported, $19,000 was already on the radar, reflecting the broader combination worth offered for the BTC provide — Bitcoin’s so-called “investor value foundation.”

Elsewhere, others targeted $21,000 as a likely turning point should a spate of bullishness kick in.

Futures open interest approaches a record 604,000 BTC

On longer timeframes, meanwhile, popular trading account Daan Crypto Trades flagged an impending triangle breakout for BTC/USD after weeks of comparative sideways buying and selling.

Associated: BTC price still not at ‘max pain’ — 5 things to know in Bitcoin this week

“$BTC The one two traces you want for the following week,” he summarized.

BTC/USD annotated chart. Source: Daan Crypto Trades/ Twitter

On derivatives markets, traders were steadily adding dry powder, which could fuel a “violent” end to the status quo.

“As bitcoin consolidates around $20,000, BTC denominated futures open interest sits just below all time highs at 604k BTC,” Dylan LeClair, senior analyst at UTXO Management wrote in a dedicated thread on the day.

“Whether up or down, when bitcoin breaks out of its current range, it’ll likely be a violent move.”

LeClair noted that the all-time high in open interest was mainly collateralized by stablecoins, marking a distinct change from the heavy upside volatility seen in April 2021, when BTC/USD hit $58,000.

Bitcoin futures open interest chart. Source: Dylan LeClair/ Twitter

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