Bitcoin (BTC) has exhibited a modestly bullish trend following its decline from the $70,000 level, as reflected in recent market dynamics. This upward movement coincides with a notable decrease in BTC’s total open interest (OI), which has contracted by over $1 billion.
Over the past 24 hours, BTC has seen a 0.6% increase in value, currently trading at $66,500. Its market capitalization has risen to $1.3 trillion, accompanied by a daily trading volume of $44 billion.
Data from Santiment indicates a significant 9% reduction in total Bitcoin OI within the past day, dropping from $12.36 billion to $11.25 billion. Such shifts in open interest typically correlate with heightened price volatility for the asset.
Additionally, the number of whale transactions involving at least $100,000 worth of BTC has decreased from 15,454 to 14,020 unique transactions over the past 24 hours, according to Santiment data. This decline in whale activity aligns with a dip in the global crypto greed and fear index to a one-month low of 71.
The Bitcoin Relative Strength Index (RSI) has experienced an uptick from 54 to 57 over the same 24-hour period. This indicator suggests a slight increase in pressure and volatility for the flagship cryptocurrency.
An RSI reading below 50 could potentially indicate a bullish momentum for Bitcoin.
One contributing factor to the rising RSI may be the profit-taking behavior among Bitcoin miners. According to a crypto.news report, BTC miners generated over $2 billion in profits last month, surpassing the previous all-time high of $1.7 billion set in May 2021.