Bitcoin’s Contrarian Signal: Margin Longs Surge to 10-Month High Amid Price Weakness

As Bitcoin continues to face downward price pressure in late 2025, a compelling divergence is emerging on derivatives markets. Despite the cryptocurrency's struggle to regain momentum after months of decline, sophisticated traders on Bitfinex are demonstrating remarkable conviction by accumulating margin long positions at the highest level since February 2024. This 72,700 BTC buildup in Leveraged bullish bets suggests that experienced market participants view current price weakness as a strategic accumulation opportunity rather than a reason for capitulation. The growing disconnect between spot price action and derivatives positioning indicates that institutional and professional traders anticipate a significant reversal, potentially setting the stage for a powerful upward move once market sentiment shifts. This accumulation at lower price levels reflects a calculated bet on Bitcoin's long-term value proposition, even as short-term technical indicators remain challenging.

Bitfinex Data Shows Bitcoin Margin Longs Rising Despite Ongoing Price Weakness

Bitcoin markets exhibit conflicting signals as persistent price declines contrast with growing trader optimism. While the cryptocurrency struggles to recover from months of downward pressure, derivatives activity suggests sustained accumulation at lower levels. Bitfinex reports margin long positions climbing to 72,700 BTC—the highest since February 2024—demonstrating conviction among sophisticated traders despite broader market caution.

The asset faces a potential third consecutive monthly loss, yet positioning metrics defy the bearish trend. Historical patterns reveal margin longs typically peak during stress periods before capitulating at cycle bottoms, implying current consolidation may precede a directional move. Persistent fear dominates as Bitcoin trades 24% below all-time highs, with technical resistance looming at the 200-day moving average.

Russia’s Central Bank Acknowledges Bitcoin Mining’s Role in Ruble Stability

Elvira Nabiullina, Governor of Russia’s Central Bank, has signaled a notable shift in stance by recognizing bitcoin mining as a factor supporting the ruble. The admission marks a departure from her previous calls for strict crypto bans, reflecting the industry’s growing strategic value under economic sanctions.

Russia’s mining sector—both legal and unregulated—has expanded rapidly, fueled by surplus energy in regional power grids. Nabiullina acknowledged the sector’s opaque nature, with significant activity occurring outside official oversight. Yet, the Kremlin appears to tolerate this gray zone as mining bolsters energy monetization and currency resilience.

The policy pivot aligns with Russia’s broader efforts to leverage its energy dominance for crypto-mining competitiveness. With sanctions limiting traditional export channels, Bitcoin has emerged as an unconventional tool for economic adaptation.

Bitcoin Faces Demand Vacuum as 2025 'Supercycle' Narrative Unravels

Bitcoin's anticipated 2025 supercycle, once fueled by institutional Optimism and regulatory tailwinds, has collided with a harsh on-chain reality. Chain analytics now reveal a structural demand deficit, with spot prices languishing in what analysts characterize as a 'bear season.' The digital asset has shed 24,000 BTC from US ETF holdings this quarter alone—a stark reversal from earlier accumulation trends.

Bitwise CEO Hunter Horsley contends the bear market began as early as February 2025, obscured temporarily by artificial demand from Bitcoin Treasury Companies and Daily Average Traders (DATs). 'The arithmetic of correction has overtaken the narrative,' notes one trader, as retail participation evaporates amid fading price momentum. Current support levels now face unprecedented stress tests.

Bitcoin Price Prediction: BTC Consolidates Between $87K–$90K as Traders Monitor Demand Zone and Breakout Risk

Bitcoin's price action remains muted, trapped in a tight range between $87,000 and $90,000 as traders await a decisive breakout. The cryptocurrency edged up 1.94% to $90,106 on December 22, 2025, with trading volume softening to $32.6 billion—a classic consolidation pattern preceding major market moves.

Historical parallels suggest this equilibrium won't last. Similar ranges in 2021 saw BTC absorb selling pressure before explosive rallies. "$BTC is still in a no-trading zone," observes analyst Ted Pillows, noting the critical juncture at current levels. A clean break above $90K could signal renewed bullish momentum, while failure to hold $87K support risks a deeper pullback.

The market's hesitation reflects broader uncertainty. Volume contraction during consolidation phases typically precedes volatility spikes. For now, Bitcoin's price action resembles a coiled spring—quiet tension building before release.

Bitcoin’s Santa Rally: A Glimpse of Hope Amidst Volatility in 2025

Bitcoin surged 6.5% from recent lows, igniting bullish sentiment as traders eye a potential Santa Rally. Analysts project targets between $98,000 and $120,000, though caution persists with $84,000 acting as a critical support level. A breach below could trigger cascading liquidations.

Derivatives markets show heightened activity, with short squeezes amplifying upward momentum. "The market is buzzing," said one trader, referencing Bitcoin's proximity to $90,000. Seasonal trends and institutional inflows are fueling optimism, yet volatility remains a persistent threat.

Bitcoin Leverage Builds as Open Interest and Funding Rates Surge Above $90K

Bitcoin's resurgence above $90,000 has reignited trader confidence, with derivatives data pointing to a sharp increase in leveraged long positions. Open interest in perpetual futures markets climbed from 304,000 BTC to 310,000 BTC—a 2% rise—while funding rates more than doubled from 0.04% to 0.09%.

The simultaneous rise in open interest and funding rates suggests fresh capital inflows rather than position rollovers, a pattern historically associated with bullish momentum. Glassnode's on-chain metrics highlight renewed risk appetite as traders position for a potential year-end rally.

This leverage buildup introduces heightened volatility risks. Market structure now reflects a clear dominance of long-side speculation, with traders effectively betting against resistance levels at the psychologically critical $90,000 threshold.