The battle between crypto bulls and bears shows hope for the future
Bitcoin traded below its mining cost in June, DeFi saw a 33% drop in TVL and mid-month weekly BTC options peaked at their highest on record.
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The blockchain space is seeing some strong points despite the perceived market downturn. Perpetual term funding rates for Bitcoin (BTC) and Ether (ETH) turned positive again on major exchanges, showing bullish sentiment among derivatives traders. Additionally, Bitcoin began trading below its base price, marking previous market lows. In contrast, in June, decentralized finance (DeFi) saw a 33% drop in total value locked and crypto stocks provided an average return of -42.7% month-over-month.
There is an ongoing battle between bullish and bearish sentiment in different areas of the market. To help cryptocurrency traders navigate the battlefield, Cointelegraph Research recently launched its monthly "Investor Insights Report". In the report, the research team breaks down the most notable market events of the past month and the most critical data across the various industry sectors. Researchers provide expert analysis and insights that can benefit serious players in the blockchain market.
Derivatives can provide a key indicator of shifting sentimentBefore June, there had been strong bearish sentiment in the market. A bearish and bullish sentiment indicator is the volatility bias of a market. The wider the range of asymmetry, the more volatile it is, while narrower ranges suggest less volatility, implying greater confidence in the market. On June 18, the 25-delta bias in Bitcoin options peaked at 36%, the highest on record. Since then, some optimism has returned, causing the bias to drop to 17%. This indicates a strong belief that the crypto market will rebound over the next few months.
Bounties on long calls on Bitcoin and Ether indicate traders are optimistic for the end of the year. However, solvency issues and the risk of contagion are still present in the market and on the minds of investors and regulators.
In sideways markets, traders can use chokes to g...
Bitcoin traded below its mining cost in June, DeFi saw a 33% drop in TVL and mid-month weekly BTC options peaked at their highest on record.
To research
The blockchain space is seeing some strong points despite the perceived market downturn. Perpetual term funding rates for Bitcoin (BTC) and Ether (ETH) turned positive again on major exchanges, showing bullish sentiment among derivatives traders. Additionally, Bitcoin began trading below its base price, marking previous market lows. In contrast, in June, decentralized finance (DeFi) saw a 33% drop in total value locked and crypto stocks provided an average return of -42.7% month-over-month.
There is an ongoing battle between bullish and bearish sentiment in different areas of the market. To help cryptocurrency traders navigate the battlefield, Cointelegraph Research recently launched its monthly "Investor Insights Report". In the report, the research team breaks down the most notable market events of the past month and the most critical data across the various industry sectors. Researchers provide expert analysis and insights that can benefit serious players in the blockchain market.
Derivatives can provide a key indicator of shifting sentimentBefore June, there had been strong bearish sentiment in the market. A bearish and bullish sentiment indicator is the volatility bias of a market. The wider the range of asymmetry, the more volatile it is, while narrower ranges suggest less volatility, implying greater confidence in the market. On June 18, the 25-delta bias in Bitcoin options peaked at 36%, the highest on record. Since then, some optimism has returned, causing the bias to drop to 17%. This indicates a strong belief that the crypto market will rebound over the next few months.
Bounties on long calls on Bitcoin and Ether indicate traders are optimistic for the end of the year. However, solvency issues and the risk of contagion are still present in the market and on the minds of investors and regulators.
In sideways markets, traders can use chokes to g...
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