Benzinga – Bitcoin‘s (CRYPTO: BTC) recent bounce has analysts divided, with some cautious about a potential front-running scenario as the price nears a key resistance zone.
What Happened: Noted crypto analyst Capo highlighted this concern, urging investors to exercise caution.
He said Bitcoin is on the verge of reaching a critical liquidity zone between $74,000 and $75,000.
This anticipated movement carries the significant caveat of the possibility of a front-run due to diminishing volume, particularly in spot transactions that fail to align with the price’s upward trajectory.
Capo pointed out a concerning trend: despite Bitcoin’s approach towards the liquidity zone, the volume is not corroborating the price movement, with supply dynamics moving contrary to the price increase.
Furthermore, the rapid escalation in funding rates signals a predominance of futures contracts betting on further…
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