38% Ethereum futures premium signals traders anticipate $2,500 ETH
Futures traders are increasingly bullish on Ether price in the short-term with $2,500 now in play. Now that Ether's (ETH) price broke the $2,000 level, hitting all-time highs this week, traders became excessively bullish and are expecting more upside in the short-term. Some analysts believe Visa's initial USD Coin (USDC) stablecoin transaction settlement on the Ethereum network kicked off the most recent rally. Others attribute the current Ether hike to a "triangle market structure" breakout.Regardless of the cause behind the recent 25% rally, professional traders seem highly optimistic....
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The open interest on Ethereum futures hit a record $6.5 billion as ETH rallied to $1,750 and traders increased their leverage. Ether (ETH) price has rallied by 33% over the last five days and data shows that as this occurred some buyers began to use excessive leverage. Although this is not necessarily negative, it should be considered a yellow flag as a higher premium on futures contracts for short periods is normal.ETH/USD 4-hour chart. Source: TradingViewAlthough Ether’s upward movement has been going for an extended period, it was only in February that Ether finally broke the $1,500....
Analysts search for bearish signals after the June BTC futures trade below spot exchange pricing. An unusual phenomenon called 'backwardation' is taking place in Bitcoin (BTC) futures trading, mainly the June contract, which expires on June 25. The fixed-month contracts usually trade at a slight premium, indicating that sellers request more money to withhold settlement longer. Futures should also trade at a 5% to 15% annualized premium on healthy markets, in line with the stablecoin lending rate. This situation is known as contango and is not exclusive to crypto markets.Whenever this....
Key derivatives indicators show pro traders remain strongly bullish even as Bitcoin price continues to reject at $19,800. Most investors that follow Bitcoin will have recently heard about the growing impact Bitcoin (BTC) futures and options markets have on Bitcoin price. The same can be said for the price swings caused by liquidations at OKEx and Huobi exchanges.Considering that derivatives markets are now playing a much bigger role in Bitcoin price fluctuations, it is becoming increasingly necessary to review some of the key metrics professional traders use to gauge activity in the....
ETH price is stuck in a rut and these three metrics suggest the downtrend is nowhere near an end. Ether (ETH) is still in troubled waters after failing to break a five-week-long descending channel top for the third time in a row. The March 2 test of the $3,000 resistance was followed by a 17.5% correction in five days, which signals that buyers are somewhat reluctant to defend the price.To date, Ether suffers from high network transaction fees, even though it dropped from $19 in mid-February to the current $13 per transaction. While this is less than peaks seen previously, $13 per....
Ethereum futures data suggests that pro traders believe $3,500 ETH is the next stop for the top altcoin. As Ether (ETH) made a $2,800 all-time on April 29, so did its futures open interest. The $8.5 billion figure marks a 52% monthly increase and shows robust trading activity behind the meteoric price rise.Some analysts might dismiss Ether derivatives, considering CME's future has $355 million in open interest compared to Bitcoin's $2.4 billion. However, Ether contracts were only launched a couple of months ago. Both FTX and Deribit require 100% full-KYC for their clients, and these....