Bitcoin up 20% as shorts and whale sales rise

Bitcoin climbed roughly 20% over the past month, while several market measures moved in directions that differ from the price change. Open interest in Bitcoin derivatives increased from $30.88 billion on April 30 to $34.26 billion by May 6. Funding rates were -0.011% on April 30 and -0.006% on May 6. On the eight-hour chart, price trended higher between April 14 and May 6 as trading volume declined.

On-chain wallet data for the cohort holding between 1,000 and 10,000 BTC showed balances of 4.27 million BTC on April 18 and 4.19 million BTC on May 6, a reduction of about 80,000 BTC over 18 days.

Momentum on the daily chart captured a divergence between January 5 and May 5: Bitcoin’s price formed a lower high while the Relative Strength Index produced a higher high, a pattern described as hidden bearish divergence. The daily close level cited as the divergence invalidation point is $81,854.

When these readings were compiled, Bitcoin traded near $81,326. Immediate resistance is noted between $81,810 and $81,854. A confirmed daily close above $81,854 is described in technical analysis as opening a path toward $90,460, which aligns with a descending trendline from January. Support levels referenced include $76,656 (0.236 Fibonacci), $73,467 (0.382), $70,891 (0.5) and $68,314 (0.618); a break below $64,645 would expose a longer-term floor near $59,972.

Perpetual futures funding remained negative over the period covered, and open interest rose while funding rates stayed below zero. Market participants and traders monitoring price action and positioning are watching the $81,810–$81,854 band for a technical resolution toward the higher or lower levels reported above.