Bitcoin fully offset losses in Sunday’s decline as the leading cryptocurrency fell from about $ 48,600 to below $ 46,000 early Monday morning. As of 21:00 UTC (16:00 ET), bitcoin has traded more than $ 48,600 on Coinbase. But the leading cryptocurrency has yet to trade above the psychologically significant $ 50,000 mark.
Much of the bad price action of bitcoin and its recent decline can be attributed to the reduction of futures contracts. Eager bulls are piling up in long trades and expect a rapid outbreak to $ 50,000 or higher. Funding rates for perpetual bitcoin futures have been steadily rising until February, according to market data collected by Skew, with some funding rates reaching the highest levels over the past 12 months.
According to Bybit, bitcoin futures have confirmed more than $ 520 million in liquidated contracts over the past 24 hours. The eager repurchase after this liquidation indicates the resilience of the market after resetting the eager futures traders.
High positive financing rates indicate an increase in long positions, while negative rates indicate a more bearish sentiment. The market tends to recover when traders, especially in overcrowded derivatives, become too clumsy or clumsy.
While some traders are unhappy about the bad price action, other market participants enjoy themselves. Bitcoin miners, for example, reached a record $ 354 million in revenue last week, up from the previous record of $ 340 million set in mid-December 2017. Net money contributed more than 15% of this revenue.
Ether, the second-largest cryptocurrency by market capitalization, traded around $ 1,820 on Monday, rising less than 1% in 24 hours from 21:00 UTC (16:00 ET).
Shortly after setting a new record high of more than $ 1,850, ether also suffered a significant drop, dropping nearly 10% to about $ 1,660 early Monday. Over $ 313 million worth of futures contracts have been liquidated over the past 24 hours per revolution.
The DeFi sector has summarized according to Messari data. But Ethereum and the various assets in the DeFi ecosystem have since recovered, with DeFi’s overall performance over the past 24 hours at almost 3% per Messari.
Other alternative cryptocurrencies have also recovered from the decline in the market. The perpetual futures contract of FTX’s altcoin index is almost 20% higher than the low Monday morning lows, which completely repeats the correction.
Digital assets on the CoinDesk 20 are X Monday. Notable winners from 21:00 UTC (16:00 ET):