Bitcoin prices slid below $66,000 after briefly reaching a one-month peak. This came as WTI crude prices jumped above $85, the highest since June. The shift pushed investors toward gold, silver, and bitcoin instead of other crypto assets.
Bitcoin’s share of the crypto market climbed to 59%. This happened as investors moved capital away from altcoins and stablecoins into the largest token. This trend often follows when people seek stability during uncertain economic times.
The HYPE token from Hyperliquid fell over 6% in the past 24 hours. Open interest for its futures contracts reached a high not seen since June 4. Derivatives data shows many traders are shorting the token, and bearish trends are growing.
Negative funding rates and a red 24-hour CVD show sellers are leading. These signs point to a strong short bias in the HYPE market. Traders seem to be expecting or preparing for further price drops.
XLM, the token from the Stellar network, also showed bearish patterns. Open interest rose to 1 billion tokens for three days in a row. This indicates a lot of short positions in the market.
A negative CVD for XLM means sellers are pushing the price lower. Buyers have failed to keep the price above 19 cents, a level it missed for the second day in a row.
Trading across the crypto market dropped 12% in the last 24 hours. Volume fell to $150 billion, with open interest staying near $116 billion. Liquidations were low at $165 million, showing the market is slowing down after recent moves.
The long/short ratio is now 50.59/49.41. This is a tighter and more balanced reading compared to the day before. The shift shows a weaker bullish stance after strong optimism earlier.
Bitcoin’s 30-day implied volatility index, BVIV, climbed to 40% from 37.5%. This reflects higher expectations for future price swings. Ether’s volatility index, EVIV, also increased, showing traders are bracing for more market turbulence.
Options trading shows mixed signals. BTC call options, especially those at $70,000 and $72,000, are seeing high demand. This suggests some traders still believe in a recovery. Ether options show similar bullish bias, with the $3,000 strike being the most active.
Midnight (NIGHT) rose 19% after a sharp drop on Monday. The token got a boost from positive comments by Charles Hoskinson. Dash (DASH) dropped 4.1% to $33.44, making it the biggest loser.
HYPE also fell, losing 3.42% to $58.79. This shows the token is still retracing from its recent high. The performance of both tokens highlights the current market mood.
Most major tokens, except XMR, XAUT, and HBAR, show negative CVDs. This confirms a broad bearish trend, with sellers driving the market down. The data supports a cautious outlook for the sector.
Open interest in BTC and ETH remained steady. This suggests traders are not adjusting their positions, even as prices pulled back. Stability in these metrics shows little change in market conviction.
The overall market is still waiting for a clear direction. With lower trading volume and bearish signals across most major tokens, the focus is on whether the market will rally or continue to fall.
Despite the drop, some traders are buying call options. This indicates they expect a rebound. However, the broader sentiment remains cautious, especially with oil prices and inflation concerns still in play.
The rise in implied volatility shows traders are paying more for protection. This suggests they are preparing for more volatile price moves. The market is closely watching how these factors develop.