{"id":29898,"date":"2025-06-03T06:18:19","date_gmt":"2025-06-03T06:18:19","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=29898"},"modified":"2025-06-03T06:18:19","modified_gmt":"2025-06-03T06:18:19","slug":"bitcoin-waiting-for-leverage-flush-before-next-big-move-analyst","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=29898","title":{"rendered":"Bitcoin Waiting for Leverage Flush Before Next Big Move: Analyst"},"content":{"rendered":"<div>\n<p>\u201cNow is a bad time to take paper bets on BTC,\u201d said technical analyst Willy Woo on June 2.<\/p>\n<p>He said it was \u201copen season on liquidation hunts due to high levels of betting,\u201d before adding that Bitcoin was \u201cwaiting to purge the bets before the next swing of all-time-highs.\u201d<\/p>\n<p>Paper bets are generally crypto derivatives such as futures, <a href=\"https:\/\/cryptopotato.com\/massive-11-5b-crypto-options-expiry-today-will-it-lead-to-more-market-losses\/\" data-wpel-link=\"internal\">options<\/a>, and perpetual contracts that allow speculators to bet on the price direction without ever holding the asset.\u00a0Woo said spot Bitcoin prices are hard to move up with too many of these \u201ccasino hitchhikers\u201d onboard.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p dir=\"ltr\" lang=\"en\">NOW is a BAD TIME to take paper bets on BTC.<\/p>\n<p>It\u2019s open season on liquidation hunts due to high levels of betting.<\/p>\n<p>BTC is waiting to purge the bets before the next swing of all-time-highs.<\/p>\n<p>Chart: paper bets on BTC, hard to move up with too many casino hitchhikers onboard. <a href=\"https:\/\/t.co\/bj9ikjdn8Q\" data-wpel-link=\"external\" target=\"_blank\">pic.twitter.com\/bj9ikjdn8Q<\/a><\/p>\n<p>\u2014 Willy Woo (@woonomic) <a href=\"https:\/\/twitter.com\/woonomic\/status\/1929563136140411091?ref_src=twsrc%5Etfw\" data-wpel-link=\"external\" target=\"_blank\">June 2, 2025<\/a><\/p>\n<\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<h2>Leverage Flush Imminent<\/h2>\n<p>Most derivatives gamblers use leveraged trading, which tends to overheat markets and create more volatility, especially when they get liquidated.<\/p>\n<p>When asked about the $100 million liquidation of Hyperliquid whale trader <a href=\"https:\/\/cryptopotato.com\/crypto-whale-wynn-who-bet-1b-on-btc-gets-liquidated-for-118m-amid-price-dip\/\" data-wpel-link=\"internal\">James Wynn<\/a> last week, Woo explained that the buying pressure was low last week, which means \u201cwhales can push things around.\u201d<\/p>\n<blockquote>\n<p>\u201cIn neutral environments, it\u2019s easy to move price, especially weekends and summer months,\u201d he said before warning:<\/p>\n<p>\u201cNow add incentives to make money through liquidations, it\u2019s the perfect setup for liquidation hunts NOW.\u201d<\/p>\n<\/blockquote>\n<p>Bitcoin open interest (OI), or the number of open futures contracts that have yet to be settled, hit an all-time high of $80 billion on May 23, <a href=\"https:\/\/www.coinglass.com\/BitcoinOpenInterest\" target=\"_blank\" rel=\"noopener\" data-wpel-link=\"external\">according<\/a> to Coinglass. It has since fallen to $72 billion but remains elevated, indicating a high level of \u201cpaper bets\u201d or leverage in the market.<\/p>\n<p>When OI surges, it indicates that massive leveraged positions have built up with lots of speculators holding large positions with borrowed money.<\/p>\n<p>When the spot price of BTC moves against these over-leveraged positions, traders get forcibly liquidated. These flushouts can create a cascade effect and amplify selling pressure, which can cause a sharp decline in prices and volatility spikes.<\/p>\n<h2>BTC Price Outlook<\/h2>\n<p><a href=\"https:\/\/cryptopotato.com\/bitcoin-price-recovery-begins-with-jump-to-106k-as-monero-marks-5-increase-market-watch\/\" data-wpel-link=\"internal\">Bitcoin prices<\/a> are up marginally on the day, hitting an intraday high of $106,450 before retreating to around $105,350 during Tuesday morning trading in Asia.<\/p>\n<p>Since <a href=\"https:\/\/cryptopotato.com\/bitcoin-to-150k-or-back-to-92k-traders-divided-as-market-cools-off\/\" data-wpel-link=\"internal\">falling<\/a> from its May 22 all-time high, the asset has remained in consolidation around current levels for the past few days. It looks very strong on the long-term view, but could see more volatility if Woo\u2019s \u201ccasino hitchhikers\u201d get liquidated.<\/p>\n<p>Meanwhile, the M2 money supply has just hit an all-time high, which is good news for risk-on assets such as crypto.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p dir=\"ltr\" lang=\"en\">M2 Money Supply hits new all-time high of $21.86 Trillion <a href=\"https:\/\/t.co\/YoFxMlRqjY\" data-wpel-link=\"external\" target=\"_blank\">pic.twitter.com\/YoFxMlRqjY<\/a><\/p>\n<p>\u2014 Barchart (@Barchart) <a href=\"https:\/\/twitter.com\/Barchart\/status\/1929732485866267000?ref_src=twsrc%5Etfw\" data-wpel-link=\"external\" target=\"_blank\">June 3, 2025<\/a><\/p>\n<\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>The post <a href=\"https:\/\/cryptopotato.com\/bitcoin-waiting-for-leverage-flush-before-next-big-move-analyst\/\" rel=\"nofollow\">Bitcoin Waiting for Leverage Flush Before Next Big Move: Analyst<\/a> appeared first on <a href=\"https:\/\/cryptopotato.com\/\" rel=\"nofollow\">CryptoPotato<\/a>.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>\u201cNow is a bad time to take paper bets on BTC,\u201d said technical analyst Willy Woo on June 2. He said it was \u201copen season on liquidation hunts due to high levels of betting,\u201d before adding that Bitcoin was \u201cwaiting to purge the bets before the next swing of all-time-highs.\u201d Paper bets are generally crypto [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-29898","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/29898","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=29898"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/29898\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=29898"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=29898"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=29898"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}