- Over 92% of Bitcoin’s hashrate is concentrated in five mining pools, raising centralization concerns.
- BTC’s price hovers around $96K, with critical support at $80K and $72K levels.
- Increased derivatives activity signals higher volatility, as market sentiment remains mixed.
Bitcoin’s mining landscape remains highly centralized, with a handful of players controlling most of the network’s hashrate. According to EGRAG CRYPTO, the latest Bitcoin hashrate distribution chart reveals that over 92% of mining power is concentrated within five major mining pools.
This raises concerns over Bitcoin’s decentralization, as Foundry USA Pool leads with 31%, followed by AntPool at 18%, an unknown entity at 17%, ViaBTC at 15%, and F2Pool at 11%.
Bitcoin Price Movement and Key Support Levels
BTC’s price has been fluctuating around the $96,000 mark, reflecting a consolidation phase near key resistance levels. At press time, BTC is priced at $96,030, with a daily increase of 1.53%.
The past 24 hours have seen a minor decline of 1.21%, while the seven-day performance shows a 1.65% drop. The market cap stands at $1.9 trillion, with a trading volume of $20.24 billion.
Analyst data from Glassnode highlights critical support and resistance levels. The adjusted MVRV Z-Score indicates that Bitcoin’s price has remained near the mean level of $96,300. If BTC drops further, the next key support sits at $80,100, marked by the -1.5σ level.
Source: X
Additionally, Bitcoin’s short-term holder (STH) cost basis of $92,200 serves as a significant support for the ongoing uptrend. The ±1σ bands, spanning from $71,000 to $131,000, define the current price boundaries, indicating that Bitcoin’s bulls still maintain control despite increasing pressure from sellers.
Liquidity Gaps and Market Risks
Market liquidity analysis reveals a notable gap below current support levels, as few transactions have occurred in this range. According to Glassnode, the STH cost basis at -1σ ($71,000) aligns with the upper boundary of this liquidity gap.
If Bitcoin falls below this level, selling pressure could accelerate, leading to further downward movement. However, strong buying interest at $72,957, previously a resistance level, could act as a buffer against any sharp decline.
Derivatives Market Sees Increased Activity
According to Coinglass data, Bitcoin’s derivatives market shows a surge in trading activity, with volume rising by 46.19% to $45.07 billion. Open interest increased slightly by 1.16%, reaching $61.01 billion.
Meanwhile, Bitcoin options volume saw a sharp 49.60% rise to $1.24 billion, with open interest recording a minor 0.43% uptick to $31.17 billion. These figures suggest growing market engagement, but they also indicate increased volatility as traders adjust their positions.
Technical Indicators and Market Sentiment
BTC/USD daily price chart, Source: Trading view
Technical indicators reflect a mixed sentiment. The Relative Strength Index (RSI) stands at 43.94, suggesting a neutral to slightly bearish momentum. Bitcoin is neither overbought nor oversold at this level. The Moving Average Convergence Divergence (MACD) line remains below the signal line, indicating weak momentum that could result in extended consolidation before a breakout.