Bitcoin's Derivative Market Bulls Have Vanished
Recently, funding for bitcoin futures contracts has flipped negative and perpetual futures are trading below spot.The bitcoin perpetual swap, the most liquid and traded futures instrument, is a contract that allows traders to speculate on the bitcoin price with leverage. While there is always an equal amount of long and shorts, the positioning of those contracts relative to the spot bitcoin price shows the bullish/bearish bias in the derivatives market. When the contract price of a perpetual futures contract (a futures contract that never expires) is above the spot market bitcoin price,....
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