Major Bitcoin Price Metrics Provide Bullish Signals Since the Last 4 Months
Bitcoin has been struggling to hold above the 53K price level for the last three days. Meanwhile Ethereum is climbing to its all-time high at the price level of 2,800. In this scenario, some traders claim to prefer asking for CME Friday futures, before entering long Bitcoin positions. Because historically, the price tends to be corrected ahead of the main event.
On the other hand, the price of Ethereum has also been greatly influenced by the EIB, or European investment bank, which released the sale of digital bonds on the Ethereum network. EIB releases two-year digital bonds of up to 100 million Euros, or the equivalent of $ 120.8 million, which the deal is led by Goldman Sachs, Santander and Societe Generale.
Later this week, JPMorgan also released a new research note stating that Ethereum should continue to excel against Bitcoin. Due to increased liquidity and increased activity on the network. Meanwhile, several analysts issued opinions such as Joshua Younger who said:
“Bitcoin is more of a Cryptocurrency commodity than currency and competes against gold as a store of value, whereas Ethereum is the backbone of Cryptocurrency's original economy and therefore serves as a medium of exchange. So far part of this potential is a more valuable activity. "
ETH and BTC trading
When analyzing the ratio between net long and short users at OKEx, surprising data is present. The indicator is calculated using the client's consolidated positions, including perpetual contracts and futures. The proportion of long Ether and short reached its lowest point in 2021 and is much lower than Bitcoin.
Traders shouldn't forget Friday's Bitcoin and Ether option positions expiring. There is a $ 3.9 Billion Bitcoin ending and the danger of moving below $ 50K, considering a neutral to bearish put option would have a $ 700 million profit.
Currently bulls dominate the simpler options, $ 930 million in expiring Ethereum and a $ 115 million difference in call open interest options seems guaranteed even if the Ethereum price drops to 2,600. But both cryptocurrencies can experience low volatility after options expire Friday and futures contracts with CME options are completed.