Interesting development on $BTC as spot CVD is now outperforming perp CVD.
Spot buying has already pushed above the previous high, while perpetual markets are still lagging behind. This helps explain why we haven’t seen the same aggressive liquidation cascades that usually follow range breakdowns.
This doesn’t guarantee the lows are fully protected. If spot demand starts weakening, $BTC can still retest lower levels.
But as long as spot accumulation continues to strengthen, any move back toward the range lows should be absorbed more effectively than previous breakdown attempts.
Less leverage driving the move also means less forced selling waiting to happen.
Spot buying has already pushed above the previous high, while perpetual markets are still lagging behind. This helps explain why we haven’t seen the same aggressive liquidation cascades that usually follow range breakdowns.
This doesn’t guarantee the lows are fully protected. If spot demand starts weakening, $BTC can still retest lower levels.
But as long as spot accumulation continues to strengthen, any move back toward the range lows should be absorbed more effectively than previous breakdown attempts.
Less leverage driving the move also means less forced selling waiting to happen.