As the critical week revealing U.S. inflation numbers and Federal Reserve’s interest rate decisions approaches its end, Bitcoin and altcoins continue to endure selling pressure. Coinglass, a crypto data provider, has flagged five data sets that bolster this bearish view, indicating a grim short-term outlook for the crypto market.
Looking at the Cryptocurrency Market from a Data Perspective
In their recent data evaluation of the cryptocurrency market, Coinglass emphasized a negative market outlook. The first data point the provider warned about is the long/short ratio of the perpetual futures contract BTC/USDT on Binance reaching 3.1118, the highest level seen since 2021. Also, the most active Binance accounts and positions’ long/short ratios are nearing record levels, pointing to another bearish data point.
Coinglass highlighted that the open interest weighted funding rate remains neutral. They also drew attention to the “maximum pain price” for BTC options set to expire at the end of the month, which stands at the $24,000 level. The data perspective suggests that optimism about the market’s short-term future is currently impractical.
Latest Situation in Bitcoin and Altcoins
Looking at the latest state of Bitcoin and altcoins, Bitcoin, the largest cryptocurrency by market cap, is trading below $25,000 at $24,978, down 3.34% in the last 24 hours, according to data provided by crypto data platform CoinMarketCap. Market analysts have been focusing on the fact that if BTC remains below $25,000, it could further exacerbate the price drop.
On the other hand, the altcoin market is faring much worse compared to Bitcoin. Ethereum (ETH), the largest altcoin, is priced at $1,641, down 5.62% in the last 24 hours. Many altcoins, including Toncoin (TON), Arbitrum (ARB), Litecoin (LTC), among the top 50 by market cap, have seen double-digit declines over the past 24 hours.
