The cryptocurrency market has been a rollercoaster ride in recent months, with Bitcoin, the king of cryptocurrencies, experiencing its fair share of ups and downs.
However, a new trend is emerging. It seems that Bitcoin is currently in a positive phase. In the last seven days, it has experienced a massive growth of 7.1%. The latest macroeconomic developments, like the US interest rate cuts, indicate that the Bitcoin market is likely to grow even further in the final quarter of the year. The latest post by Ki Young Ju, the CEO of CryptoQuant, brings attention to the changing institutional sentiment towards Bitcoin. Let’s dive in!
Ki Young Ju points out that institutional investors are now reducing their short positions on Bitcoin. He supports this with data from the Bitcoin CME Futures Net Position in USD chart.
The chart shows that net short positions on Bitcoin futures at CME have dropped by 75% over the past five months. This is significant because CME is one of the largest platforms where institutions trade Bitcoin futures. This shift indicates growing institutional support for Bitcoin.
Institutional investor behavior often influences the market, with retail investors frequently mirroring institutional trends. With Bitcoin now receiving positive signals from institutional investors, there’s a strong likelihood that short-term investors who exited during recent market uncertainties might return.
Given the current institutional backing, it’s reasonable to anticipate a bullish trend for Bitcoin in the near future. This positive shift in sentiment aligns with forecasts suggesting substantial growth ahead for Bitcoin. If this trend continues, the likelihood of a major market drop diminishes, supporting the potential for further significant gains.
Also Check Out: Buy, Hold, or Sell: Solana (SOL) and Cardano (ADA) Price Fail To Break Trend!
Are you investing in Bitcoin based on the recent trends? Let us know your thoughts.
Elon Musk has cleared the air about rumors surrounding Dogecoin's potential inclusion in the U.S.…
The weekly trade has begun on a bearish note, with the prices of most tokens…
A South Korean court has sentenced three members of a crypto scam ring to prison…
XRP has shown some interesting price movements over the past 24 hours, with increased trading…
Amid the bearish market sentiment, Cardano's (ADA) price prediction has become a key topic among…
Bitcoin is about to close the monthly trade on a bearish note, which may hinder…
