Bitcoin breached $78,800 in early trading on May 2, accelerating its push toward the psychologically significant $80,000 level. Multiple on-chain and derivatives metrics now point to a market where buyers are firmly in control.
Spot CVD Surges to Highest Since February 17
Technically, Bitcoin has held above its 100-day moving average, with sellers failing to drive price below that support. The spot cumulative volume delta (CVD) jumped to 11,500 BTC, the highest reading since February 17. Each selloff was met with equally robust buying, reflecting strong demand at current levels.
Futures data also turned bullish. Open interest rose 6.64% over the past 24 hours, reaching 257,000 BTC. The market had previously flushed out a batch of over-leveraged positions—roughly 9,000 BTC in liquidations—allowing new positions to enter with healthier leverage. Money is now flowing into the narrow band just below $80,000.
Short Squeeze Risk Looms With $2.1 Billion in Shorts
Futures CVD readings confirm that buyer momentum has returned. Trading volume in this segment hit 98,300 BTC, slightly below the record set at the end of April. Liquidity has become concentrated in the $78,000-$80,000 range, where short positions totaling roughly $2.1 billion sit at risk. Any upside breakout could trigger forced buybacks—a classic short squeeze—fueling further gains.
“With the recent surge in opening volumes, Bitcoin has rebounded from its 100-day average, reviving short-term bullish expectations. These shifts in liquidity could pave the way for a fresh round of price action at this critical threshold,” an analyst noted.
OTC Balances Plunge, ETF Inflows Hit Record Streak
Institutional buying is draining available supply. The 30-day change in over-the-counter (OTC) desk Bitcoin balances fell to -20,700 BTC, the lowest since March 2025. That signals that large, off-exchange blocks are becoming scarce, forcing institutional buyers into the open market.
Spot Bitcoin ETFs recorded $1.97 billion in net inflows during April, according to Ecoinometrics. The products marked nine consecutive days of net inflows, the longest streak since 2026. “A similar momentum was seen ahead of the October 2025 peak. Now, this sustained flow clearly points to an improvement in investor sentiment,” the newsletter observed.
All eyes are now on whether Bitcoin can clear $80,000 and sustain the breakout. With supply tightening and volumes rising, short-term volatility is likely to remain elevated during this decisive phase.