Bitcoin Price Stalls Near $70K as Fear Grips Market

Key Insights:

• Bitcoin price held steady as leverage declined sharply.
• Negative funding rates signaled stronger short pressure.
• Spot buying resumed despite prolonged fear sentiment.

Bitcoin price traded near $70,600 on April 13 as derivatives activity weakened across major exchanges. Market data showed a drop in leverage while sentiment remained cautious. This shift occurred because traders reduced exposure amid rising geopolitical uncertainty and weak momentum.

The broader market entered a defensive phase as risk appetite declined across crypto assets. Bitcoin price reflected this trend, holding in a range-bound pattern despite ongoing selling pressure in derivatives markets. That reaction mirrored extended fear conditions, with sentiment indicators remaining at extreme levels for nearly a month.

Bitcoin Price Faces Derivatives Market Deleveraging

Rei Researcher data showed open interest fell from $43 billion to around $22–23 billion, marking its lowest level in months. The move followed a steady unwind of leveraged positions, even as Bitcoin price showed limited volatility. This divergence indicated that traders exited positions rather than initiating new directional bets.

Amr Taha reported that daily open interest changes dropped sharply across major exchanges on April 12. Binance recorded a decline of $406 million, while Gate.io and Bybit saw losses of $308 million and $243 million. That synchronized drop confirmed a broader deleveraging trend across the derivatives market.

Funding rates also turned negative, reflecting stronger pressure from short positions. This shift occurred after months of mostly positive funding between July 2025 and January 2026. The change suggested reduced speculative demand and weaker long positioning in the market.

Bitcoin Price Holds Key Level as On-Chain Signals Shift

Michaël van de Poppe noted that Bitcoin price maintained an important support zone despite rising macro uncertainty. Oil prices rose amid tensions in the Middle East, heightening volatility across global markets. That environment pushed investors toward defensive positioning.

On-chain metrics reached extreme lows, signaling potential exhaustion among sellers. The Puell Multiple Z-score dropped to levels last seen during previous cycle bottoms. Meanwhile, SOPR and MVRV Z-scores recorded their lowest readings on record, indicating deep unrealized losses.

These conditions historically aligned with late-stage correction phases. However, the market still faced risks of further downside as liquidity hunts remained possible. The absence of strong upward momentum suggested that recovery would depend on sustained demand returning.

Bitcoin Price Sees Spot Buying Return Amid Fear

CW data showed renewed buying activity on Binance and Coinbase after a brief weekend pause. Traders resumed accumulation as the new week began, signaling a shift in spot market behavior. This move contrasted with the ongoing weakness in derivatives positioning.

Coin Bureau reported that the Crypto Fear & Greed Index remained in extreme fear for 26 consecutive days. During this period, Bitcoin price failed to reclaim higher resistance levels, reinforcing cautious sentiment. That prolonged fear phase reflected uncertainty driven by macro risks and weak investor confidence.

The divergence between spot demand and derivatives pressure suggested a transitional phase. While leveraged traders reduced exposure, spot buyers appeared to accumulate gradually. This imbalance often preceded stabilization, though confirmation required sustained inflows.

Bitcoin price now faced a near-term test around the $75,000 resistance level, which remained unreclaimed during the recent fear cycle. Market participants watched whether improving spot demand could offset continued derivatives weakness in the coming sessions.

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