Bitcoin speculative fervor cools, traders await Trump's next steps
Bitcoin since Donald Trump’s US election victory is moderating both in the spot and derivatives markets.
The largest digital asset slid below $87,000 at one point on Friday after Federal Reserve Chair Jerome Powell said there was no need to hurry interest-rate cuts. The token later pared back some of its losses trading at $90,265 as of 12:11 p.m. in London.
In the derivatives sector, K33 Research said the premium paid for CME-listed Bitcoin futures over the spot market price has declined. US-based institutional investors use the contracts to take positions on the original cryptocurrency. Figures from Amberdata indicate a 24-hour surge in open interest — or outstanding contracts — for bearish options with a strike price of $80,000.
“Markets seems to be cooling down,” said Vetle Lunde, head of research at K33, adding that the narrowing of the futures premium “might have been a subtle hint of moderating risk profiles.”
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