Bitcoin’s next selloff could be amplified by the traders still betting on its recovery
Photo: CryptoSlate
Bitcoin options traders are becoming more defensive even as leveraged futures traders maintain bullish exposure amid persistent spot selling. An Oct. 19 Glassnode report showed Bitcoin's 25-delta options skew climbing from 5.2% to 8.6% over the preceding week, reflecting a growing premium for downside protection relative to bullish options. Meanwhile, aggregate funding payments by perpetual futures longs jumped 49.4% to $1.6 million, suggesting continued demand for leveraged bullish exposure despite weak buying activity in the underlying market. The contrasting positions emerged as Bitcoin struggled to recover from October's selloff.
Source: CryptoSlate
