Bitcoin’s recent rise has reignited the debate over the so-called “10.00 dump” pattern. For months, traders anticipated routine intraday selling that repeatedly limited upward momentum.
Now the disruption to this expectation has prompted a reassessment of the short-term market structure.
Previously, price weakness was concentrated around the 10am timeframe, often undoing early advances. In this order, however, at the time of writing, Bitcoin [BTC] was trading around $68,500, a gain of more than 7.12%. Instead of fading, the momentum continued for the same hour.
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Previously, the price had fallen nearly $63,000 under visible selling pressure. Gradually, buyers rebuilt the structure above $64,000 and expanded it to $65,500. Importantly, the expected liquidity flush did not occur; instead, the green candles clearly expanded above $66,000 and accelerated towards $68,750.
Meanwhile, Terraform’s lawsuit against Jane Street has intensified speculation about a systematic seller. As that story spread, continuation replaced rejection within the day. The weekly candle turned green after five red weeks, adding $120 billion to Bitcoin’s valuation.
Still, the key question remains whether this shift reflects a permanent change in the microstructure or just a temporary relief within broader bearish conditions.
Positioning-driven recovery or real demand growth?
Bitcoin’s recovery coincided with a sharp reset in derivatives, shaping the key debate around organic price discovery versus positioning distortion.
Open interest fell from about $30 billion to nearly $21.8 billion, due to aggressive deleveraging. As debt burdens declined, forced liquidations accelerated downward depletion.
The price simultaneously hit a low of almost $62,000 before recovering towards $68,600, generating more than $120 billion in revenue. market capitalization.
Source: CryptoQuant
When the liquidations cleared up, the suppressed positioning created tight conditions. The short exposure was unwound mechanically, fueling upward momentum rather than new demand in the spot market. This dynamic explains the speed of the recovery phase.
Meanwhile, the Fund flow ratio was hovering around 0.05 at the time of writing, while Binance was closer to 0.012. The low currency inflows indicated moderate panic selling, but also weak structural accumulation.
Through this lens, the rally seems like a relief. Deleveraging first stabilized the structure, after which short liquidations drove up the price. Sustained upside potential now depends on renewed inflows, and not just vacuum positioning.
Demand for whales in the US is returning as whale distribution cools
American demand is showing the first signs of structural reconstruction Coinbase Premium Index became positive near 0.006. This shift signals renewed interest in spot purchasing. As the premium recovered, the price stabilized around $68,600, strengthening short-term support.
Source: CryptoQuant
Meanwhile, the Changing whale ratio decreased from the previous 0.7-0.8 distribution zones to 0.5. This decline indicates reduced inflows of currency from large investors. As whale transfers declined, pressure on the sell side eased.
At the same time, the absence of ratio spikes suggests that whales have paused dispersal rather than accelerated exits. This restriction constricts the circulating supply.
Together, improving U.S. flows and moderate whale sales provide a constructive foundation from which stabilization can extend to gradual upward efforts.
Final summary
- Bitcoin [BTC] The recovery reflects liquidation-driven expansion, with deleveraging and short squeezes driving the $120 billion increase more than organic demand.
- Bitcoin’s stabilization now depends on continued inflows from the US and continued whale absorption as distribution pressures subside.