The post Will Record Open Interest Spark A Bitcoin Price’ Liquidity Flush?’ appeared on BitcoinEthereumNews.com. Key points: Bitcoin circles the $120,000 mark as traders boost liquidity on either side of the spot price. Analysis sees bulls addressing the “imbalance” to take the market higher. Long-term bearish divergences continue to cast doubt on the future of the Bitcoin bull market. Bitcoin (BTC) consolidated $120,000 support at Friday’s Wall Street open as analysis prepared for a fresh short squeeze. BTC/USD one-hour chart. Source: Cointelegraph/TradingView Trader eyes $123,000 BTC liquidity Data from Cointelegraph Markets Pro and TradingView showed a cooling of short-term BTC price volatility on the day. BTC/USD had hit new local highs into the daily close, with the level to beat now at $121,100. Commenting on the current market set-up, popular trader CrypNuevo eyed overhead ask liquidity as a likely target next. “Liquidations at $120k have been hit,” he summarized in part of his latest analysis on X.  “Now we’re in this Liquidity Pool (LP) which represents an imbalance in the chart and needs to be fully retraced ($123.2k).” BTC liquidation heatmap. Source: CrypNuevo/X Data from CoinGlass additionally showed bids massing around $118,500, representing potential support in the event of a market correction. BTC liquidation heatmap. Source: CoinGlass On the topic of a potential retracement, popular trader BitBull suggested that this could come thanks to a surge in open interest (OI) on derivatives markets. “In the next 1-2 weeks, BTC and alts will have a big leverage flush,” he predicted in part of an X post.  “This’ll force people to sell their coins as they think that Uptober is over. After that, Bitcoin and alts will rally again and hit new highs.” Exchange Bitcoin futures open interest (screenshot). Source: CoinGlass CoinGlass data put total futures OI across exchanges at a record $88.7 billion on the day. Bearish divergences cause concern A further argument for trouble down… The post Will Record Open Interest Spark A Bitcoin Price’ Liquidity Flush?’ appeared on BitcoinEthereumNews.com. Key points: Bitcoin circles the $120,000 mark as traders boost liquidity on either side of the spot price. Analysis sees bulls addressing the “imbalance” to take the market higher. Long-term bearish divergences continue to cast doubt on the future of the Bitcoin bull market. Bitcoin (BTC) consolidated $120,000 support at Friday’s Wall Street open as analysis prepared for a fresh short squeeze. BTC/USD one-hour chart. Source: Cointelegraph/TradingView Trader eyes $123,000 BTC liquidity Data from Cointelegraph Markets Pro and TradingView showed a cooling of short-term BTC price volatility on the day. BTC/USD had hit new local highs into the daily close, with the level to beat now at $121,100. Commenting on the current market set-up, popular trader CrypNuevo eyed overhead ask liquidity as a likely target next. “Liquidations at $120k have been hit,” he summarized in part of his latest analysis on X.  “Now we’re in this Liquidity Pool (LP) which represents an imbalance in the chart and needs to be fully retraced ($123.2k).” BTC liquidation heatmap. Source: CrypNuevo/X Data from CoinGlass additionally showed bids massing around $118,500, representing potential support in the event of a market correction. BTC liquidation heatmap. Source: CoinGlass On the topic of a potential retracement, popular trader BitBull suggested that this could come thanks to a surge in open interest (OI) on derivatives markets. “In the next 1-2 weeks, BTC and alts will have a big leverage flush,” he predicted in part of an X post.  “This’ll force people to sell their coins as they think that Uptober is over. After that, Bitcoin and alts will rally again and hit new highs.” Exchange Bitcoin futures open interest (screenshot). Source: CoinGlass CoinGlass data put total futures OI across exchanges at a record $88.7 billion on the day. Bearish divergences cause concern A further argument for trouble down…