CryptoQuant: Investors Question Bullish Continuation Despite BTC Strength

Crypto market recoveries often begin in disbelief, and Bitcoin may be entering that phase now, according to new analysis from ￰0￱ a partial rebound in price, many market participants are still unwilling to trust the trend — a dynamic analysts say can precede major upside ￰1￱ Short Positions Signal Deep Distrust Funding rates, a key sentiment indicator, have stayed negative on Binance for six of the past seven days, sitting near -0.004%. This reflects a clear preference for short ￰2￱ note that bearish sentiment intensified after the sharp sell-off on October 11, with traders expecting another leg down. However, CryptoQuant argues that this very mistrust could become bullish fuel.

“The longer investors doubt the reversal, the stronger the potential for an explosive move higher,” analysts said, noting the increased risk of a future short ￰3￱ added that liquidations of bearish positions could drive Bitcoin rapidly toward major liquidity zones between $113,000 and $126,000. Market Structure Resembles Earlier Breakout Setups Similar patterns were recorded in September 2024 and April 2025, when Bitcoin rebounded sharply after heavy ￰4￱ believe today’s structure mirrors those setups, with sentiment flipped negative just before a strong ￰5￱ also recently reported a $12 billion drop in open interest over the past week — another sign of shaken ￰6￱ historically, such periods of mistrust and forced exits often precede expansion phases in crypto ￰7￱ this stage, sentiment remains cautious, but analysts warn the market could be closer to a decisive move than traders expect.