• Advertise
  • Submit a Press Release
NewsBTC
Bitcoin & cryptocurrency news
Crypto.com Logo
  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Events
  • Play GamesTry
  • Play Casino GamesTry
No Result
View All Result
Breaking News: Dogecoin (DOGE) Soars 8%, But An Uptick In This Metric Suggests A Pullback
  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Events
  • Play GamesTry
  • Play Casino GamesTry
No Result
View All Result
NewsBTC
No Result
View All Result
Breaking News: Dogecoin (DOGE) Soars 8%, But An Uptick In This Metric Suggests A Pullback

Institutional Traders on the CME are Still Bearish on Bitcoin; Here’s Why

Cole Petersen by Cole Petersen
2 years ago
in Technical analysis, Bitcoin
Reading Time: 3 mins read
Advertisement

Bitcoin has been caught within the throes of a firm and unwavering bull trend throughout the past few weeks.

After hovering within the lower-$9,000 region for over a month, the crypto’s breakout rally sent it as high as $12,000 this past weekend, at which point it met some insurmountable resistance.

After declining back towards $11,000 the cryptocurrency has entered a consolidation phase as its buyers attempt to gain greater strength.

Get 30 FREE SPINS at Punt Casino - NO DEPOSIT REQUIRED! Start Playing Now.
No Deposit 40 FREE SPINS at Wild.io on SIGN UP. Wheel of fortune, daily bonuses, 10 BTC in prizes monthly! Start Playing Now!

Despite its overt strength, institutional traders on the CME still remain net-short on BTC – betting that its price is going to decline significantly in the weeks and months ahead.

This is in striking contrast to retail traders on the platform, who are overwhelmingly long.

One technical factor potentially influencing institutions to remain short on Bitcoin is the existence multiple CME gaps that sit below where it is currently trading at.

BitStarz Player Lands $2,459,124 Record Win! Could you be next big winner?

These gaps do have a high likelihood of being filled, potentially leading large traders to expect macro downside.

Bitcoin’s Bull Trend Doesn’t Convince Institutional Traders 

Bitcoin has been posting consistently bullish price action throughout the past couple of weeks.

Following a prolonged period of consolidation between $9,000 and $10,000 that started in May, the crypto’s buyers have been building significant strength.

This past Saturday, BTC did face a harsh rejection at $12,000. Despite this being a bearish development, bulls ardently defended the $11,000 level as support, and it has since been able to slowly push higher.

This strength has allowed the benchmark cryptocurrency to close its latest monthly and weekly candle above $10,500 – which has long been a macro resistance level.

The close above this level is decisively bullish.

Despite this, the latest Commitment of Traders (CoT) report from the CME shows that institutions are still net-short on Bitcoin despite the latest rally.

It also shows that retail traders are widely net-long. This volatility has caused open interest on the platform to rise by over 40% — according to data aggregator Unfolded.

“28 – July CME $BTC Commitments of Traders Report (COT). Open Interest: 13,068 (up 41.5%). Retail net positions hits all-time-high. The smart money (institutions) remains flat net short.”

Image Courtesy of Unfolded.

Open CME Gaps at $7,000 and $3,000 Remain Bearish for BTC 

With demand for “hard assets” like Bitcoin reaching an all-time high, it remains unclear as to why the so-called “smart money” is short on BTC.

One technical factor that could be playing into this is the existence of multiple gaps on the CME’s chart. Historically, these gaps are filled by assets the vast majority of the time.

“BTC (CME) – if Bitcoin were to hold in this area for a few more hours the CME would have a gap down from Fridays close… Still gaps in the $9k, $7 and $3Ks…” one analyst noted.

Bitcoin

Image Courtesy of Chonis. Chart via TradingView.

Naturally, there’s no guarantee that these low price gaps will ever be filled by Bitcoin, but it is one possibility that may be stopping institutions from flipping long.

Featured image from Unsplash.
Charts and pricing data from TradingView.
Tags: btcusdBTCUSDTxbtusd
Tweet123Share206ShareSend
Win up to $1,000,000 in One Spin at CryptoSlots
Cole Petersen

Cole Petersen

Cole is a cryptocurrency analyst based in Los Angeles. He studied at the University of California Irvine and has been interested in Bitcoin and the crypto markets since 2013.

Related Posts

MATIC Price Prediction

MATIC Price Prediction: Rallies 10%, Polygon Bulls Aim Big

3 hours ago
Ethereum Price

Ethereum Price Another Rejection Signals Risk of Bearish Reaction

4 hours ago
Bitcoin

Bitcoin Price Holds Key Support But The Bulls Seem To Be Losing Steam

5 hours ago
XRP Whales Accumulate Almost 60.2 Million Tokens, Is A Bull Run Coming?

XRP Whales Accumulate Massive Tokens – Is A Bull Run Coming?

14 hours ago
Bitcoin BTC

This Is How The Bitcoin Price Will Be Affected By Macro: Charles Edwards

18 hours ago
Bitcoin Bull

CryptoQuant’s Bitcoin PnL Index Forms Bullish Crossover

19 hours ago

Premium Partners

Top Casinos

BitStarz

BitStarz

Review · Visit
Punt Casino

Punt Casino

Review · Visit
Trust Dice

Trust Dice

Review · Visit
Metaspins

Metaspins

Review · Visit
Coinplay

Coinplay

Review · Visit
CryptoSlots

CryptoSlots

Review · Visit
mBit

mBit

Review · Visit
Vave

Vave

Review · Visit

Sportsbooks

1xBit

1xBit

Review · Visit
Coinplay

Coinplay

Review · Visit

Binance Coin (BNB) And Orbeon Protocol (ORBN) Speculated To Make Huge Gains In 2023

January 27, 2023

2023’s Hottest NFT Collections Include Moonbirds, Azuki, and Ganja Guruz

January 27, 2023

Solana (SOL) and LEO Token (LEO) Witness Steep Decline; Flasko (FLSK) Looking To Help Investors Recover Loss

January 26, 2023

BudBlockz (BLUNT) Emerges as a Haven as Bitcoin Cash (BCH) and Stellar (XLM) Struggle to Grow

January 26, 2023

The Top Picks for a Bear Market: Hedera (HBAR), Toncoin (TON), and Orbeon Protocol (ORBN)

January 26, 2023

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Links

Crypto Prices from Nomics

Cryptocurrency news

  • Bitcoin
  • Ethereum
  • Ripple
  • Chainlink
  • Cardano
  • EOS
  • Tezos

Technical Analysis

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Ripple (XRP)
  • Chainlink (LINK)
  • Cardano (ADA)
  • Tezos (XTZ)

Company

  • Advertising
  • Comments Policy
  • Privacy Center
  • Sitemap
  • About Us
  • Contact

© 2022 NewsBTC. All Rights Reserved.

  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Events
  • Play Games
  • Play Casino Games

© 2022 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.