Following the Federal Reserve’s decision to hold interest rates steady during its most recent policy meeting, the Bitcoin market has shown a complex set of signals, especially on Binance.
Key Technical Divergence: Flat Price, Falling Open Interest :
As seen in the Binance BTC Price & Open Interest Change chart, BTC has formed consistent equal lows slightly above $104,000.
This level has acted as a strong demand zone, repeatedly absorbing sell pressure.
However, in contrast, the open interest on Binance has recorded a series of lower lows, showing progressive deleveraging across the derivatives market.
104K: The Liquidation Magnet for Late Longs :
* The BTC: Binance Liquidation Delta chart highlights a sharp liquidation cluster around $104,000, where:
* Long positions were forcefully closed (green delta spikes), reflecting a cleanse of latecomers chasing the rally.
* Short liquidations were minimal, confirming the dominance of long squeezes.
Conclusion: Path to Higher Prices
The timing of this cleanup coincides with the Fed’s decision to pause rate hikes — a macroeconomic signal that often acts as a tailwind for risk-on assets like Bitcoin. Historically, BTC has shown bullish tendencies following rate stabilization, especially when paired with signs of liquidation exhaustion and fading open interest.
Written by Amr Taha
