Demand in the Bitcoin market has recovered significantly in the last week. Indicators shared by crypto data platform CryptoQuant showed that futures investors, in particular, started to take positions again and the market momentum gained strength after the last rise.
Futures demand came to the fore
While Bitcoin struggled to produce a sustained close above $63,000, 30-day cumulative demand data pointed to one of the strongest recoveries of the year. The metric in question increased from approximately minus 500000 BTC to minus 75000 BTC in seven days.
CryptoQuant stated that this recovery was largely driven by the futures market. Demand from futures investors increased slightly above the neutral zone at approximately minus 295000 BTC during the same period. This chart revealed that buying pressure has increased and leveraged investors have become more confident about the short-term outlook.
CryptoQuant data reveals that much of the recent recovery in Bitcoin demand is fueled by the rapid change in sentiment in the futures market.
Mini dictionary: Futures trading is a type of market in which investors make a contract to buy or sell an asset at a certain price in the future. Leverage allows you to open larger positions with smaller collateral, which increases the possibility of both profit and loss.
Spot market weakness continues
On the other hand, the same strength was not seen on the spot demand side. Data showed that spot market demand remained at around minus 78000 BTC. This outlook indicates that long-term investors and institutional buyers are still cautious.
For this reason, it is considered that most of the recent demand jump is related to speculative transactions rather than new capital inflows. The fact that the movement in the market is mainly fueled by futures transactions has raised questions about the permanence of the rise.
The fact that spot demand remains weak suggests that the strong recovery seen in Bitcoin is supported mostly by short-term and leveraged transactions.
The $70000 level is being watched again
The increase in futures demand has strengthened the possibility of Bitcoin breaking through the current resistance zone. The new momentum in the market led to the $ 70000 level becoming the target again. However, analysts maintain the view that it may be difficult for this movement to turn into a major breakout if spot purchases do not strengthen.
In the past, Bitcoin’s stronger and more permanent increases were seen in periods when futures and spot demand increased simultaneously. In the current picture, hesitancy in the spot market stands out as the main obstacle to a broader price breakthrough.
