Analysts: The Bitcoin derivatives market is dominated by short sellers, with long positions facing continuous liquidation pressure.

CryptoQuant analyst Axel Adler Jr. wrote, "The Bitcoin Position Index is a comprehensive indicator measuring the aggressiveness of long/short positions in the derivatives market, reflecting the current actual opening direction of positions by futures market participants. The index's 30-day Simple Moving Average (SMA-30d) reached a local high of +3.0 on March 17th when Bitcoin's price was $73,925, and has since continued to decline, falling to -3.1 today. This reflects the continued accumulation of short positions. During the same period, Bitcoin's price fell from $74,883 to $66,603, and the SMA-30d declined in tandem with the market price, further confirming the weakening market structure. The liquidation oscillator has rebounded from 2.9% since mid-March and has continued to rise, reaching 18.6% as of today. This means that the market is experiencing continuous forced liquidation on the long side, preventing structural recovery. The red bars reflecting short liquidation dominance have not appeared since October 2025. Only 30..." The 30-day moving average (DMA) remains high, and the prominent red histogram has not returned, indicating continued pressure from long positions. A downward reversal of the 30-day DMA would be the first signal that liquidation equilibrium is beginning to recover. The reversals of these two indicators occur simultaneously and corroborate each other. Bitcoin's price has fallen approximately 11% from its peak of $74,883, and the current derivatives market structure offers no basis for a sustained reversal: short sellers dominate, long positions are being continuously liquidated, and short squeezes are virtually nonexistent. Current trading stance: risk aversion. The main downside risk lies in: if liquidation pressure persists and the open SMA-30d remains below the zero line, the bearish pattern will solidify further, and the downward pressure on Bitcoin's price to fall below $66,000 will intensify.