Bitcoin (BTC) analyst Credible Crypto, known for his analysis of the cryptocurrency, suggests that the largest cryptocurrency could be in the midst of a strong bull market. According to the analyst, the rise in Bitcoin is supported by investors who engage in leveraged trading.
In a video update on social media platform X (formerly known as Twitter), Credible Crypto stated that Bitcoin investors using leverage in the futures market are driving the BTC rally. The analyst mentioned that relying on leveraged traders to manage price increases may not be the healthiest approach for a rally, which could indicate that Bitcoin is entering a strong bull market.
The analyst pointed out that the transition from a bear market to a bull market involves a shift from a low funding rate to a high funding rate and a continuous influence of futures trading on the market.
Credible Crypto emphasized that while leveraged traders are driving the Bitcoin rally, spot market investors also support the rise. The analyst stated that the current rise is not solely focused on the spot market, but with each consolidation, buying pressure from the spot market prevents the price from dropping further. Therefore, instead of aggressive spot buyers, we may be facing spot buyers quietly absorbing sell-offs.
At the time of writing, Bitcoin is trading at $41,732 with a 0.39% increase in the last 24 hours. According to current data, the price of the largest cryptocurrency has shown a 12.06% increase in the last 7 days and an 18.61% increase in the last 30 days.
