Bitcoin Market Makers Defend Range Highs as Funding Rates Drop Suggesting Potential for Short Squeeze and Breakout

Key Points

1. Bitcoin's funding rates have dropped, indicating a potential short squeeze and breakout as weak hands are flushed out.

2. Market makers are defending range highs, a strategy previously seen before a short squeeze to $123,000, suggesting a similar setup now.

3. Open interest spiked during a fake breakdown, signaling fading sentiment among late buyers and potential for a breakout.

4. Liquidation heatmaps and large sell walls on exchanges like Binance indicate another liquidity sweep may be imminent.

5. Key metrics reflect a compression phase, with market makers positioning for a continuation move higher.