The price of bitcoin struggled to regain $49,000 Friday, continuing to bounce between $48,000 and $46,000 heading into the weekend. As bitcoin contemplated which way to go, ether made a new all-time high above $1,850.
- Bitcoin (BTC) trading around $47,600 as of 21:00 UTC (4 p.m. ET). Slipping less than 1% over the previous 24 hours.
- Bitcoin’s 24-hour range: $46,286 to $48,925
Much of bitcoin’s choppy price action could be attributed to futures deleveraging as eager bulls piled into long trades expecting a swift breakout to $50,000 or higher. Funding rates for perpetual bitcoin futures have steadily increased through February, according to market data collected by Skew, with some funding rates reaching their highest levels in the past 12 months.
High positive funding rates signal an increase in long positions, whereas negative rates indicate a more bearish sentiment. The market tends to reset when traders, especially in overcrowded derivatives positions, become overly bearish or bullish.
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