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In recent days, the struggle to breach the $35,000 level has proved challenging for Bitcoin, with bearish positions gaining an advantage in the ongoing battle between buyers and sellers. Currently, Bitcoin’s price is experiencing a consolidation phase below the $35K benchmark. Amidst this consolidation, there is growing concern over possible market manipulation, with suspicions that a single entity is controlling the market’s direction.
The current Bitcoin market sentiment appears to be taking a shift as the spotlight now focuses on a dominant whale than traders. Despite the lack of market activity, the Open Interest (OI)—the total number of outstanding derivative contracts, such as options or futures that have not been settled—continues to climb. This continuous increase in OI against a backdrop of a sluggish market suggests that price is being influenced by massive limit orders rather than a group of active traders.
According to a prominent crypto analyst, the BTC market shows symptoms of a classic bear or bull trap, where positions are forced into a corner, only to be exploited for profit by a manipulator.
Investors have been witnessed to limit buying into weaknesses—often referred to as “takers puking”—and limit selling into strength or “taker bids.” In simple terms, this is the push and pull of the market where takers (those who accept market prices) are forced to buy or sell into the manipulator’s limits, indicating a strong hand at play.
Moreover, active spot takers are not chasing the rally, instead placing careful bids on price dips. Conversely, perpetual markets show sellers driving prices down. This divergence in trading behaviors suggests targeted market manipulation tactics. With spot market support declining, concerns rise over the potential for maneuvering by dominant players amid weak limit orders from others. As Bitcoin’s OI/delta hovers around the pivotal “green box” price zone, speculation climbs over the sustainability of these manipulative cycles.
Bitcoin’s continuous rejections above $35K are weakening the immediate resistance level as buyers gain confidence for a breakout. With more sellers getting trapped, BTC price is set for another upward push. As of writing, BTC price trades at $34,700, declining over 0.8% from yesterday’s rate.
However, the Relative Strength Index (RSI) has declined below the midline, strengthening short-position holders’ confidence. Should prices drop below the EMA50 trend line, it could trigger profit-taking by short-term investors. In that case, the BTC price might test buyers’ patience at $33,300 level. A decline below this level will force Bitcoin to consolidate around the $28K-$30K zone.
On the bullish side, a rebound and buying demand above $35,000 would mark the initiation of a new bullish phase. Following such a breakout, we could see Bitcoin climb towards the significant resistance level at $36,700 and then to $40K.