Foreign media reports that after Bitcoin traded sideways around $60,000 for nearly two weeks, the market has not reached a consensus on whether it has stabilized. On-chain unrealized losses continue to increase, and demand for downside protection in the options market is also rising, indicating that some traders are still wary of a new round of declines.
Unrealized losses rise to new high
The report, citing market data, states that the current supply of Bitcoin at a paper loss has risen to 10.56 million, surpassing the previous high of 10.47 million. This means that, at current prices, nearly half of the circulating BTC is at a paper loss, and the pressure on holders is increasing.
The article also mentions that a whale address recently sold 800 BTC at approximately $62,000 per BTC. This position was reportedly established near a high of around $107,000 last November, resulting in a loss of approximately $35 million. The report suggests that this type of stop-loss exit reflects a waning patience among some investors.
Options funds shift towards downside protection
Looking at the derivatives market, traders' interest in put options is increasing. Generally, increased options activity indicates the market is preparing for greater volatility, but this time the flow of funds is more defensive.
The report points out that open interest in Bitcoin options has risen to $36 billion, a near one-month high. The most significant increase was on June 18th, indicating a large influx of new positions that day. Based on this, the article concludes that the market is positioning itself for future price volatility.
$52,000 becomes the level to watch at the end of the month.
The report cited traders as saying that there have been many short-term put option positions in the Deribit market recently, with target prices concentrated at $60,000 in early July, $55,000 around July 10, and $52,000 at the end of the month.
The article argues that widening unrealized losses, increased stop-loss selling, and the continued instability of key support levels are the main reasons for the increase in bearish positions. Based on current signals, the market remains cautious about the notion that "$60,000 has been the bottom," with some funds preferring to hedge against further declines.
Additional information:This is an opinion piece from a foreign media outlet based on market data and trader behavior. The statement about $52,000 comes from options market positions and trader observations, and is not a price result that has actually occurred.
