BTC price gains more than 3% as the week begins, but concerns over open interest “ramping up” almost $1 billion in hours offer a sense of Grayscale deja vu.
Bitcoin (BTC) hit new month-to-date highs on Sept. 18 as a strong weekly close cemented a bullish start to Wall Street trading.
Data from Cointelegraph Markets Pro and TradingView tracked over 3% BTC price gains on the day, with Bitcoin breaking $27,000 for the first time in September.
With the Wall Street open around the corner, market participants eyed “momentum” returning among Bitcoin bulls.
“Bitcoin price breaks the barrier at $26,800 and attacks the highs at $27,200,” Michaël van de Poppe, founder and CEO of trading firm Eight, summarized.
Van de Poppe uploaded his latest analytics chart to X (formerly Twitter), showing the area of resistance now necessary for a reclaim.
Monitoring resource Material Indicators meanwhile revealed daily buy signals on its proprietary trading instruments.
“Bulls seem to have mustered some momentum since the D candle open,” part of accompanying commentary read.
UPDATE: #BTC Bulls seem to have mustered some momentum since the D candle open. Both Trend Precognition algos are flashing new ⬆️ signals in the Daily TF. A close below $26,414 would invalidate. pic.twitter.com/KSAp6e0tjt
Elsewhere, a cautious Daan Crypto Trades flagged ballooning open interest, which returned to levels last seen after the brief BTC price gains that followed asset manager Grayscale’s legal victory against United States regulators.
#Bitcoin Open Interest has been ramping up like crazy these past few hours.
Up +$850M in hours.
This can be an issue if spot bid disappears which could cause for a full retrace similar to before.
This would then be due to underwater positions that entered near the top. If… pic.twitter.com/PmQOvVt7Gw
Trader and analyst Rekt Capital meanwhile demanded that bulls win back higher levels and hold them into the September monthly close.
“Soon going to revisit ~$27100 (black),” he forecast on the day alongside a chart.
With the Fed’s decision on interest rates looming on Sept. 20, the macro conversation focused on the build-up to the event.
Related: FOMC versus BTC price ‘local bottom’ — 5 things to know in Bitcoin this week
The U.S. Dollar Index (DXY) showed continued strength on the day despite assumptions that interest rates would not rise later in the week.
The DXY hovered above 105, having broken through that level for the first time since mid-March.
Bitcoin, traditionally inversely correlated to the Index, nonetheless showed no signs of weakness.
“Bitcoin hit $27,000, while the DXY is above 105,” James Straten, research and data analyst at crypto insights firm CryptoSlate, noted alongside a comparative chart.
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