There are different indicators that help us understand market structure and the direction of risk.
Open Interest.
Funding.
Liquidation map.
CVD.
Whale positioning.
Cycle metrics like MVRV, NUPL and SOPR.
Global liquidity (M2).
Reading them separately creates noise.
Reading them through structure reveals pressure.
Let’s break it down.
1️⃣ Price Location — Range First
BTC is trading around 67K.
Recent high near 68.4K was rejected. Recent low near 66.6K was defended.
That defines the active range.
No breakout. No breakdown. Just compression between resistance and support.
When price fails to expand above resistance while leverage builds, that is not strength.
It is positioning.
2️⃣ 1D — Cycle Structure
If you observe:
• MVRV in neutral territory
• NUPL moderately positive
• SOPR fluctuating around or slightly below 1
You’re not in expansion.
You’re in redistribution.
Participants are realizing losses. Unrealized profit still exists. There is no euphoric breakout condition.
Macro liquidity (M2) is not restrictive.
So this is not macro collapse.
It is internal pressure inside the cycle.
Daily structure: transitional.
3️⃣ 4H — Leverage Compression
Open Interest has not expanded aggressively. It compresses, expands briefly, then compresses again.
That tells you leverage is being drained, not built.
Funding remains slightly long-biased overall.
That tells you positioning hasn’t fully flipped bearish.
Liquidations over the last 24h show longs dominating.
That tells you who has been forced out.
When longs are liquidated while funding still leans long, the imbalance isn’t fully reset.
That is structural fragility.
4️⃣ 15m — What Just Happened
Sequence observed:
• OI builds
• Price pushes up
• Sharp rejection
• Long liquidations
• OI collapses
• Weak rebound
That is a flush.
The rebound came without strong OI expansion.
That is mechanical relief.
Not structural strength.
5️⃣ Liquidation Map — Where Pressure Resolves
Heatmap (both lower and higher thresholds) shows clear liquidity clusters:
Above the range. Below the range.
Price is currently positioned between heavy pools of leverage.
Markets rarely stabilize in the center of liquidity.
They travel toward imbalance.
Liquidity is not prediction.
It is gravity.
Integrated Structural View
Price → Range under resistance
1D → Redistribution
4H → Leverage compression
15m → Fragile rebound
Liquidations → Long side recently punished
Funding → Bias not fully neutralized
Heatmap → Polarized liquidity
Risk is not gone.
It has shifted.
And when risk shifts, price eventually follows.
Structure first. Movement after.
This content is for educational purposes only. It does not constitute financial advice, investment recommendations, trading signals, or market predictions. The author is not responsible for any decisions made based on this content. Always conduct your own research (DYOR).
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