Analysis: Bitcoin dips below $90,000 and consolidates, with risk aversion in the crypto market intensifying

Odaily Planet Daily reports that after Bitcoin fell below $90,000, it has been fluctuating and consolidating. Analysts believe that this decline aligns with risk aversion in traditional markets, leading to increased risk-off sentiment in the crypto market. Derivatives data shows that Bitcoin’s 30-day implied volatility (IV) rose to 44.34 on Tuesday, while open interest (OI) in the past 24 hours decreased by 3.25% to $28.3 billion, indicating that short position traders have taken profits during this period. However, funding rates remained generally positive throughout the sell-off. Additionally, Zcash’s open interest decreased by 2.5%, while its price increased by 1.5%, suggesting that short holders since January 8 are beginning to reduce their bearish exposure. (CoinDesk)