[Key interpretation] AXS unexpectedly soared by 51%, and BTC estimated that the leverage ratio was low

JinsPublished on 2022-12-06Last updated on 2022-12-07

Abstract

BTC low volatility operation

1. BTC horizontal plate arrangement

During BTC's short-term sideways consolidation, the price fluctuation space is not high, and it is still operating below the pressure level of 17246 dollars. The recent trend of BTC price is relatively stable, and there is no significant price fluctuation. Therefore, we can continue to focus on the direction of price breakthrough and wait for directional guidance.

2. Estimated leverage ratio continues to decline

BTC estimates that the leverage ratio continues to decline, which is consistent with the direction of price weakness, indicating that investors are relatively cautious about leverage trading. It is estimated that the leverage ratio decreased from 0.407 on October 11 to 0.278 on December 5, a large decline. Based on this, BTC estimates that the leverage ratio has dropped to the value in May 2022.

The calculation method for estimating leverage ratio is simple. Divide the open interest of the exchange by its coin reserve, which indicates how much leverage users use on average. This indicator remains low, which means that the bottoming process of BTC is relatively moderate, and there will be no major fluctuations in the short term.

3. AXS short-term rebound

With the short-term rebound of AXS to a high near $10, the price shows signs of strengthening again within one month. Considering the low price of AXS, as the mainstream currency of GAMEFI, AXS has welcomed the opportunity of active trading. From the perspective of investors' trading points, the trading volume around $12 to $6 at the low level in the early stage has been intensively amplified. This is a continuation of the increase in price activity after the recent rebound in trading volume.

4. AXS financing interest rate rebound is still low

AXS's financing interest rate is still low, but the average financing interest rate has rebounded. Prior to November 2022, the AXS financing interest rate remained near -0.04. The current financing interest rate runs around 0. On December 6, the financing interest rate retreated slightly to a low of -0.26, indicating that the selling pressure was significantly increased and the risk of chasing up was increased.

5. SNX rebounds

With the slight rebound of SNX, the price continued the previous price strength on June 19. The SNX rebounded from a low level this time, which means that the activity of undervalued mainstream currencies is on the rise. However, the price rise still needs to be confirmed in more trading days. In fact, SNX's lock-in position on the chain remains low, which means that there will be greater resistance to the short-term upward market.

In consideration of the large short-term volume expansion space of SNX in the early stage, SNX rebounded from a low of $1.426 to a high of $4.4. During the period when SNX rebounds again from below the current US $2, we can focus on the profit opportunities in the weak market.

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