Bitfinex Alpha | BTC Finds Local Low but Leverage Increasing

Key Points

1. Bitcoin defended its short-term range low near $114,800 and rebounded to close the week higher at $119,580, despite a 5% intra-week drop that triggered large-scale liquidations.

2. Over $1.1 billion in long positions were liquidated on July 23rd and 24th, highlighting overheated speculative positioning in BTC markets.

3. Interest dominance in altcoins like ETH, SOL, XRP, and DOGE surged from $26 billion to $44 billion in four weeks, indicating a return of speculative capital.

4. The US economy shows mixed signals: durable goods orders fell 9.3% in June, core capital goods dropped 0.7%, and Q2 GDP growth is forecast at 2.4%, driven by uncertain factors.

5. Jobless claims dropped to 217,000 (lowest in three months), but continuing claims rose to 1.955 million, signaling labor market challenges.

6. Housing activity remains weak, with new home sales up only 0.6% in June and inventory at its highest since 2007.