Bitcoin (BTC) climbed from around $88,000 during Asian trading hours to surpass $90,000 in the European afternoon session on Monday. However, caution remains as the U.S. market prepares to take over.
In recent weeks, BTC has often found initial support during Asian and European sessions but tends to lose momentum once American investors enter the fray.
This pattern makes the U.S. trading hours a crucial period for determining whether price surges can be sustained. Past attempts to break key thresholds like $90,000 have frequently reversed during New York trading due to profit-taking and hedging activities—resulting in significant liquidations worth hundreds of millions amid volatile swings.
Data from CoinGlass reveals that derivatives activity is intensifying alongside Bitcoin’s price increase. On Monday, open interest in Bitcoin futures steadily rose as prices moved higher, approaching nearly $60 billion across major exchanges.
Notable growth was observed on platforms such as Binance, CME, and Bybit—indicating that new leveraged positions are entering the market rather than just short-covering moves.
This scenario has become familiar: price strength builds outside of U.S. hours but is followed by heavier selling when American traders become active again.
The main concern now isn’t simply whether Bitcoin breaks out above resistance levels but if this rally is backed by genuine spot market demand or increasingly reliant on leveraged futures contracts.
An increase in open interest concurrent with rising prices doesn’t inherently signal danger; however, it does heighten risk exposure. Should momentum continue upward smoothly, leverage could amplify gains significantly. Conversely, if buying pressure fades quickly, crowded long positions may trigger rapid sell-offs as traders unwind their bets.
Bulls face a critical test: failing to maintain support above $90,000 during U.S.-based trading could reinforce a recurring pattern of lower highs followed by swift declines seen recently in December’s action.
On the other hand, a firm breakout beyond this level would represent a departure from December’s typical “sell-the-open” behavior.