Analyst Points Out Weird Bitcoin Activity On Bybit & Deribit Before Flash Surge
October 17 2023 - 10:00AM
NEWSBTC
An analyst has pointed out how some suspicious Bitcoin buying
activity took place on Bybit and Deribit in the leadup to
yesterday’s flash surge. Bitcoin Taker Buy Sell Ratio Saw
Extraordinary Spikes On Bybit & Deribit Yesterday In a new post
on X, Julio Moreno, head of research at CryptoQuant, discussed how
the BTC taker buy-sell ratio looked like for the different
exchanges in the market leading up to the surprise rally yesterday.
The “taker buy sell ratio” here refers to an indicator that keeps
track of the ratio between the taker buy and taker sell volumes for
Bitcoin on any given exchange (or group of platforms). Related
Reading: Crypto Shorts See Carnage As Bitcoin Surges Towards
$28,000 When the value of this metric is greater than 1, it means
that the taker buy volume is more than the sell volume currently.
Such a trend suggests that the investors are willing to pay more to
purchase the asset and thus, a bullish sentiment is shared by the
majority. On the other hand, a value under the threshold implies a
bearish mentality is active on the exchange as the traders are
willing to sell the asset at a lower price at the moment. Now, here
is a chart that shows the trend in the 24-day simple moving average
(SMA) Bitcoin taker buy-sell ratio over the past few days for four
exchanges: Binance, OKX, Bybit, and Deribit. Looks like the value
of the metric was quite high on the bottom two platforms | Source:
@jjcmoreno on X Yesterday, Bitcoin saw a very sharp sudden rally as
false news broke out that the iShares BTC spot ETF had been
approved by the US SEC. This surge, however, retraced in as
spectacular a fashion as it had occurred as the market quickly
realized that the rumor was without any substance. From the chart,
it’s visible that all four of these exchanges saw spikes in the
taker buy-sell ratio in the hours leading up to this rally. The
spikes on Binance and OKX, though, were of pretty normal levels, as
spikes of similar scales had occurred in the preceding days as
well. In the case of Bybit and Deribit, however, the 24-day SMA of
the ratio had hit peaks of 41 and 98, respectively, which are both
extremely high levels. For comparison, the indicator only hit 1.8
on Binance and 6.3 on OKX. Related Reading: Chainlink Whales Moved
Around $150M In LINK Before Latest Surge: Data This would suggest
that some really high Bitcoin buying volume was observed on Bybit
and Deribit, which was unlike what was seen on other exchanges in
the sector. It’s unclear what this pattern means, but it’s possible
that some users on these platforms had already been tipped on the
fake announcement in advance. BTC Price Regardless of the quick
rally and crash, Bitcoin has enjoyed some upward momentum during
the past couple of days as the cryptocurrency’s value has now
climbed toward the $28,500 level. The asset has been going up
during the past few days | Source: BTCUSD on TradingView Featured
image from iStock.com, charts from TradingView.com, CryptoQuant.com
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