Latest news with #Alphractal
Yahoo
24-07-2025
- Business
- Yahoo
Fartcoin Jumps to Top 10 Based on Derivatives Open Interest, Signals Speculative Frenzy in the Solana-Based Memecoin
Need evidence of speculator fervor. Look no further than Coinglass' crypto derivatives leaderboard, which shows that fartcoin (FARTCOIN), the Solana-based memecoin, is now the 10th largest token based on derivatives open interest. As of writing, notional open interest in futures tied to fartcoin totaled over $1 billion, placing the joke cryptocurrency ahead of well-established coins, such as Litecoin (LTC), Chainlink's LINK (LINK), Avalanche's AVAX (AVAX), and several others. The other tokens play pivotal roles in decentralized finance (DeFi), blockchain oracles and payments. Notional open interest refers to the dollar value locked in the number of open or active derivative contracts at a given time. What's more alarming is that fartcoin's open interest now equals 65% of its market capitalization of $1.62 billion. By market value, fartcoin ranks 83rd in the world. Meanwhile, the $84.7 billion open interest in bitcoin derivatives amounts to just 3.5% of the leading cryptocurrency's market value of $2.36 trillion. Fartcoin's unusually high open interest relative to its market cap indicates a buildup of speculative excesses typically seen during the crypto market bull runs, which drives retail investors to take significant risks in cheaper tokens. A similar trend is seen in other smaller coins, according to data tracked by Alphractal. "From the Top 300 down, Open Interest becomes disproportionately high compared to Market Cap — a strong risk signal. What does this mean? These altcoins will eventually liquidate 90% of traders, whether they're long or short. They are also much harder to analyze with consistency," founder and CEO of Alphractal, noted on lors de la récupération des données Connectez-vous pour accéder à votre portefeuille Erreur lors de la récupération des données Erreur lors de la récupération des données Erreur lors de la récupération des données Erreur lors de la récupération des données
Yahoo
06-07-2025
- Business
- Yahoo
Bitcoin's 'Mempool' Nearly Empty as Prices Trade Near Lifetime Highs
The Bitcoin blockchain lacks meaningful on-chain activity, even as its native token, bitcoin BTC, trades near a record per-unit price. That's according to mempool – a holding area for unconfirmed blockchain transactions waiting to be included in a block by miners. On Satuday, the mempool had just 5,000 odd transactions awaiting inclusion, with the tally rising to 15,000 at press time, still a far cry from 150,000 when BTC's price first rose above $100,000 in late 2024, according to data source Since March this year, the tally has oscillated between $3,000 and $30,000, indicating anaemic demand for the network despite BTC establishing a foothold above $100,000. "Bitcoin's mempool (queue of transactions waiting to be processed) is almost completely empty. The percentage of miner revenue coming from fees (instead of inflation) is down to a fraction of a percent," Joël Valenzuela, director of marketing and business development, said on X. "Simply put, almost all of Bitcoin's actual users have gone away. At all-time price highs, too!" Valenzuela added, calling the situation a major crisis where the network goes bankrupt or becomes "completely custodial asset run by governments and institutions." According to Joao Wedson, CEO and founder of crypto data analysis platform Alphractal, the idle mempool is a sign of missing retail participation in the market. "When Mempool transactions begin to rise again, it's a clear sign that retail is back — because the growing backlog reflects increased demand for using the network," Wedson said. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
08-06-2025
- Business
- Yahoo
Leveraged Bitcoin Longs on Bitfinex Weakest Since December and It Could Mean Rally Time
Those who have followed financial markets for some time may have heard of contrary indicators. These metrics are often misleading at first glance – some appear positive but tend to signal a market downtrend, while others that seem negative mark price upswings. One such contrary indicator is leveraged bitcoin longs on the crypto exchange Bitfinex. Historically, the number of leveraged longs on the exchange has tended to slide during bull runs and rise during bearish trends. As of writing, the number of BTCUSD longs on Bitfinex had fallen to 47,691, the lowest since December, offering bullish cues for bitcoin, according to data source TradingView. The tally of longs peaked in the first half of April and has been declining since then, characterizing BTC's rapid recovery from around $75K to record highs of over $110K. "When Bitfinex Long Positions rise, the price tends to fall. When Long Positions drop, the price usually goes up," crypto analytics firm Alphractal said on X. Explaining the conundrum, Alphractal said that traders are typically wrong about the market direction. That leads to forced or discretionary liquidations, which drive the price in the opposite direction. "As long as Bitfinex Long Positions keep dropping, Bitcoin will continue to rise," João Wedson, CEO of Alphractal, noted. The chart shows the contrary nature of the BTCUSD longs on Bitfinex. Since 2021, every major BTC rally, including those seen in November-December last year and the latest one from early April lows, has coincided with the slide in BTCUSD longs on the exchange. On the other hand, BTC's bear trends, including the 2022 crash and the decline from $100K to $75K seen early this year, occurred as BTC/USD longs surged. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Mayor
25-05-2025
- Business
- Business Mayor
Bitcoin Short Positions Increase as Market Sentiment Shifts to Fear
Bitcoin recently broke above the $111,000 mark, setting a new all-time high. However, data across major exchanges suggests that traders are growing increasingly wary of a sustained rally. CoinGlass data indicate that over 53% of Bitcoin positions are currently short, meaning a majority of traders are betting on a price drop. By contrast, just 47.43% of active positions are long. The pattern is mirrored on Binance, where short trades make up 54.05% of open interest, compared to 45.95% for longs. This growing tilt toward shorts reflects mounting skepticism in the market, despite Bitcoin reaching new highs. The sentiment shift is reinforced by the latest move from prominent crypto whale James Wynn, who reversed his bullish stance after a multi-million dollar loss. Wynn had previously maintained an aggressively leveraged 40x long position worth around $1.25 billion but exited after Bitcoin's price dipped from $109,000 to roughly $107,107. The trader closed his long exposure at a loss of $13.39 million, with liquidation unfolding in under an hour on May 25. He has since opened a short position of 3,523 BTC—valued at approximately $377 million—at an entry price of $107,128. The new trade carries a liquidation threshold near $118,380. James Wynn Bitcoin Bet on Hyperliquid. Source: X/EmberCN Market analysts have suggested that Wynn's pivot reflects broader signs of exhaustion in the current bull cycle. According to blockchain analytics firm Alhpractal, short-term holders (STHs) have begun distributing coins. Historically, a decline in STH supply often signals that Bitcoin is approaching a local top. The firm noted that the Short-Term Holder Realized Price currently stands at $94,500, which is the last strong support before losses set in. Read More German government sells remaining Bitcoin holding - baha news In contrast, long-term holders (LTHs) remain firm, with their realized price climbing to $33,000—highlighting a widening behavioral gap. Bitcoin Short-Term Holders Distribution. Source: Alphractal Alphractal stated that while Bitcoin previously hit record highs under similar conditions in 2021, it warned that the current cycle may be nearing exhaustion. It added that several macro indicators and historical halving trends point to a possible correction after October 2025.
Yahoo
15-05-2025
- Business
- Yahoo
Altcoin Season Could Heat Up in June and Drain Part of Bitcoin's $2T Market Cap, Analyst Says
Bitcoin's (BTC) dominance rate has dropped notably this month, sparking hopes for a full-blown alt season or period where the bull market spreads beyond BTC, lifting valuations in other sectors of the digital assets market. Joao Wedson, CEO and founder of crypto data analysis platform Alphractal, expects a full-blown alt season to unfold in June. Bitcoin's dominance rate, which measures the leading cryptocurrency's share of the total digital assets market, has dropped from roughly 65% to 62% in one week, ending a prolonged five-month uptrend, according to data source TradingView. During the same time, the total crypto market capitalization has increased from $2.90 trillion to $3.24 trillion. The contrast suggests a shift in investor interest from bitcoin toward alternative cryptocurrencies. Per Wedson, the altcoin season is already underway and the BTC dominance is expected to decline rapidly in the coming months. Wedson's proprietary altcoin season index, which focuses on select 57 altcoins, shows 37 of those coins have outperformed BTC in the past 60 days. "Even if BTC drops in the coming weeks, most altcoins have already bottomed out, and it's unlikely they'll fall below recent price levels. Part of bitcoin's $2 trillion market cap is likely to flow into altcoins. So make sure to analyze your altcoin against BTC pairs (e.g., ETH/BTC or COTI/BTC)," Wedson said on a detailed post on X. However, broader measures suggest the bull market has yet to expand beyond BTC. For instance, CoinMarketCap's altcoin index, which focuses on top 100 coins, remains stuck at 27 to suggest "bitcoin season."
