Net position to sell bitcoin on CME at a record low
The COT bitcoin report data reflects an increase in bullish sentiment among large speculators. Large funds have almost completely reduced their net position on bitcoin decline and are ready to open a net position on its growth. At the same time, the net position on the decline of BTC has become a record low in the history of trading. The continuation of this trend may contribute to the growth of the cryptocurrency.
Longer-term hedgers were also bullish, opening a record net position on BTC growth.
Small speculators have resumed reducing their net position on cryptocurrency growth. Small speculators noted a rise in bearish sentiment, but this group of traders usually does not have a significant impact on the market.
COT reports data are fundamental and are used mainly for medium and long term trading. Large speculators, NON-COMMERCIAL (banks, investment funds) usually trade along the trend (blue line). Small speculators, NONREPORTABLE POSITIONS - usually have little influence on the market (red line). HEDGERS, COMMERCIAL (operators, large companies) trade usually against the trend (black line). Net position is the difference between the number of buy and sell contracts. Open Interest is the sum of all open positions in the market.