Bitcoin’s been trapped between $91,000 and $94,500 for days. But something’s brewing beneath the surface. Glassnode called out a rare setup—rising open interest paired with negative funding rates. This combo could trigger a short squeeze and finally blast Bitcoin through $95,000.
Negative Funding Rates Signal Short Squeeze Incoming
Here’s the kicker. Bitcoin’s funding rates have stayed negative, even as the price flirts with $94,000. That means traders are still betting against the uptrend. But as Glassnode warns, this “sets the stage for a possible short squeeze scenario if upward momentum continues.”
If Bitcoin climbs higher, those short sellers will be forced to close positions, buying back Bitcoin and pushing prices even higher. Jlabs Digital put it plainly: “A rally with negative funding and rising OI is rare and bullish.” This pressure cooker setup hasn’t flipped yet.
Options Traders Stack Bets on Bitcoin’s $95K Breakout
Over in the options market, traders are stacking their bets. QCP Capital noted in a Telegram update that “call options at $95K strikes for end-April and end-May expiries have dominated flow.” That signals growing confidence that Bitcoin will soon break past $95,000.
Options let traders lock in the right to buy Bitcoin at a set price. The heavy concentration around $95K shows exactly where investors expect the next big move.
BTC’s $95K Resistance Holds but Momentum Builds
Traders are locked in on the $95,000 mark. AlphaBTC noted that Bitcoin is “consolidating under resistance” but suggested this could be the foundation for the next leg higher. Jelle backed that up, adding Bitcoin is “slowly munching its way through monster resistance.”
If Bitcoin clears $95K, the path to $100,000 opens up. But if the price stalls, a dip back toward $90,000 is still on the table.
At the time of writing, Bitcoin is sitting at $93,716.
