Derivative data shows that the current open contract volume has reached $8.44 billion, with a funding rate in positive territory (0.00548%). This indicates that market sentiment is leaning bullish, with longs willing to pay fees to maintain their positions. However, the large open contract volume also means that market leverage is high, and price breaks through key levels may trigger violent fluctuations.
From the perspective of institutional order flow, the price has just forcefully broken through a consolidation range that lasted for several weeks (around $86,500 - $89,000). The main target of 'smart money' will be to hunt for liquidity above. The most critical liquidity pool is located near the previous swing high of $94,555.0, where a large number of short stop-loss orders are concentrated. The secondary target is in the local high area around $92,000.
The current breakout is accompanied by a significant increase in trading volume, and the price has already stabilized above the EMA moving average cluster, which has converted from resistance to support. The RSI indicator has also entered a strong area. Therefore, the possibility of this upward move being a real trend initiation is much greater than a false breakout (fakeout). The previous consolidation phase can be seen as a process of accumulating positions.
On the execution level, the strategy should focus on buying on pullbacks. Wait for the price to retrace to the upper edge of the previous consolidation range, which is now a key support level, providing a good risk-reward entry opportunity.
Institutional Setup:
Entry Zone: $88,600 - $88,000
Target 1: $92,000 (Liquidity Target)
Target 2: $94,555 (Trend Target)
Stop Loss: $86,500##USGDPUpdate #BTC
