3 reasons why Bitcoin’s drop to $56.5K may have been the local bottom
The absence of cascading liquidations, 25% delta skew and the margin lending ratio all suggest that Bitcoin price bottomed at $56,500.
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The absence of cascading liquidations, 25% delta skew and the margin lending ratio all suggest that Bitcoin price bottomed at $56,500.
After a slight hiccup in BTC futures premium, traders seem comfortable despite the $58,000 support retest and the risk of $60,000 turning to resistance.
BTC's futures markets premium and options risk gauge show that there are not any signs of excessive leverage or FOMO from traders — yet.
Bitcoin derivatives markets flipped neutral-to-bearish after China’s ‘crypto ban’ announcement triggered a BTC price dip to $40,600.
On Tuesday, SEC Chair Gary Gensler re-confirmed his plan to crack down on cryptocurrencies, and traders’ regulatory concerns are confirmed by this key Bitcoin futures and options indicator.
The futures premium, top traders’ long-to-short ratio and options skew all signal that pro traders still feel positive about Bitcoin price.
Bitcoin's price finally recaptured the $50,000 level, but data shows that pro traders are somewhat skeptical for a variety of reasons.