The cryptocurrency market managed to rebound slightly today led by Bitcoin as it attempts to reclaim the $66,000 level.
While Solana (SOL) appears to be one of the most prominent winners today, with gains of more than 5% and regaining the $190 level.
Bitcoin is rebounding today after a sideways trend that has continued since late last March, which was followed by sharp declines that led to the liquidation of more than $600 million in long open interest of crypto futures during the past two days, and Bitcoin had $150 million, according to data provided by CoinGlass.
While bullish sentiment is still relatively weak today after the recent declines, the size of open interest in Bitcoin is still down by approximately 4% over the past 24 hours. It may seem that investors are not yet ready to bet on more highs yet this week.
What also added to the negative sentiment was that the ARK 21Shares Bitcoin Fund (ARKB) ETF recorded outflows for the first time since its launch in January of $87 million on Monday, joining the Grayscale Bitcoin Trust (GBTC) which continues to bleed. However, ARKB’s outflows have exceeded those of GBTC, according to SoSoValue data.
This bad mood in the crypto market also comes with corresponding negative sentiment in the financial markets in general, with fears returning again about the possibility of the Federal Reserve maintaining interest rates for a longer period than expected, as economic activity continues to accelerate in the United States.
Today, the focus turns to Bitcoin Cash (BCH) with the halving event expected in the coming hours. While the Bitcoin-forked crypto has undergone a violent correction from the $700 level to just below $600. This prompted the largest liquidation of long futures open interest since the beginning of last March, with more than $6 million over the past two days.
The halving event usually triggers selling waves for a period of time before entering an upward cycle that may extend for a long time.
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