The negative funding rate in the derivatives market, alongside rising prices of the leading cryptocurrency, creates conditions for a short squeeze, according to analysts at K33.
Vetle Lunde, head of research at the firm, noted that the funding rate for Bitcoin futures has been negative for 46 consecutive days. A similar trend was observed near the bottom of the bear phase at the end of 2022.
Bitcoin price against the average daily annual funding rate. Source: K33.
“The tightening of funding rates and the unusually persistent negative mode increase the chances that digital gold will break through the 68-day consolidation and reach new highs,” the expert stated.
Michaël van de Poppe, founder of MN Trading, shares a similar view. He believes that if Bitcoin's price holds above $75,000, the next resistance zone to test will be between $85,000 and $88,000.
The markets are preparing for a short squeeze on #Bitcoin.
— Michaël van de Poppe (@CryptoMichNL) April 15, 2026
The markets have rallied to $75,000 and rejected there. A 'shooting star' was made on the daily timeframe, and people freaked out.
However, that's not the only indicator that we should be looking at.
The funding rate… pic.twitter.com/1g3SAMFaOf
“On shorter timeframes, the market is forming higher lows and highs—a sign of sustained interest in the asset. As long as the price stays above $72,000, there’s nothing to worry about,” he added.
Historical Context
The combination of rising open interest and Bitcoin prices with negative funding rates has been observed multiple times near consolidation lows.
“The current positioning of crypto investors aligns with these conditions. Therefore, we have emphasized the importance of funding regimes in our reports over the past month and maintain a bullish outlook on the leading cryptocurrency,” Lunde noted.
According to K33, only two periods in history have had longer durations of continuous negative 30-day funding rates: March to May 2020 (63 days) and June to August 2021 (49 days).
At the time of writing, Bitcoin is trading around $74,000, having dropped 1.9% in the last 24 hours.
Hourly chart of BTC/USDT on Binance. Source: TradingView.
Analysts at Alphractal observe that the cryptocurrency is approaching key resistance levels: the average price of active supply and the realized price of short-term holders.
Bitcoin is approaching key on-chain cost resistance levels such as the True Market Mean Price and the STH Realized Price.
— Alphractal (@Alphractal) April 14, 2026
It is important to monitor this region, as historically these levels have acted as resistance during Bear Market phases.
See more at https://t.co/MgcOqab771 pic.twitter.com/q2lsp81FBW
“This area is worth watching closely—historically, it has been insurmountable during bear markets,” experts wrote.
Additionally, Bitwise stated that the conflict in Iran has brought Bitcoin closer to its role as a real means of settlement. Experts have labeled the price level of $1 million as "fundamental" for the cryptocurrency.