• Home
  • Contact Us
  • Privacy & Policy
Tuesday, May 24, 2022
Finances Advise
No Result
View All Result
  • Home
  • Business
  • Commodities
  • Crypto News
    • Block chain
    • Bitcoin
    • Ethereum
    • Litecoin
  • Finance
    • Financial Advisors
    • Personal Finance
    • Market Insider
  • Forex
  • Investing
  • Stocks
  • ICOs
  • Trading
  • Home
  • Business
  • Commodities
  • Crypto News
    • Block chain
    • Bitcoin
    • Ethereum
    • Litecoin
  • Finance
    • Financial Advisors
    • Personal Finance
    • Market Insider
  • Forex
  • Investing
  • Stocks
  • ICOs
  • Trading
No Result
View All Result
Finances Advise
No Result
View All Result
Home Crypto News Bitcoin

Bitcoin Retail Investors Confident About $50,000-Price Bottom

by admin
March 30, 2021
in Bitcoin
0
152
SHARES
1.9k
VIEWS
Share on FacebookShare on Twitter


Bitcoin fell from about $60,000 to nearly $50,000 this week, but it has not deviated retail interest, according to Robbie Liu of OKEx.

The investment analyst cited renewed buying activity near the $50,000 level among retail investors, confirmed by the rising long/short ratio and the rising USDT premium in the Asian market. The long/short ratio compares the total number of users opening long positions versus those opening short positions.

Bitcoin climbed by more than 7 percent after testing $50,000-area as its support.

Bitcoin bounces off the $50,000 area. Source: BTCUSD on TradingView.com

Bitcoin Futures Premium

Additionally, he highlighted BTCUSD0326, a large-volumed bitcoin futures contract expiring in June that now trades near the $56,200 levels, about 5 percent higher than Bitcoin’s spot rate. Prices tend to follow futures’ bids.

“Last Friday, the premium of BTCUSD0625 jumped to 8% before quickly retracing,” alerted Mr. Liu. “The premium is now back to 5% levels, indicating weak market expectations regarding the end of June price. However, since the expiration date is still far off, any increase in price could quickly drive up the premium.”

The price of futures reflects the traders' expectations of the price of Bitcoin.  Source: OKEx
The price of futures reflects the traders’ expectations of the price of Bitcoin. Source: OKEx

The retail interest in Bitcoin climbed with the ongoing de-risking sentiment among institutional investors. Signs of a resurgent US economy, rising bond yields, and nascent inflation prompted investors to rotate out of the so-called pandemic winners, including bitcoin, and seek opportunity in markets that suffered majorly during the coronavirus lockdown.

As a result, manufacturers, banks, and retail sectors outperformed tech stocks. The US dollar index climbed higher, as well, as longer-dated Treasury yields surged.

“Retail investors have seemingly been trying to catch the bottom around the past two days while institutions generally want to de-risk. 50,000 USDT is now becoming a key level to watch,” said Mr. Liu about Bitcoin.

“The current event-driven week is ending on a weak note with all the selling pressure stepping in after the Tesla announcement. However, with the massive options expiry out of the way, we could see BTC move more independently over the weekend,” he added.

Margin Lending Ratio

More support for the $50,000-bottom theory appeared from Bitcoin’s margin lending ratio. It is the ratio between users borrowing dollar-pegged USDT versus borrowing BTC in USDT value over a given timeframe. Typically, traders borrow USDT to buy bitcoin, and those who buy BTC aim to short it.

“The margin lending ratio has also seen a counter-trend rise during the BTC retracement, rising from around 8.5 to a high of 10.5 in the past two days,” said Mr. Liu.

“This also indicates that retail investors are confident about the price floor near 50,000 USDT,” he added.

Photo by André François McKenzie on Unsplash 
Tags: 50000PriceBitcoinBottomConfidentinvestorsretail
  • Trending
  • Comments
  • Latest

A 48-year market vet warns that the Fed will be forced to tighten policy ‘way sooner’ than investors anticipate as inflation continues to soar — triggering a stock market crash of up to 80%

August 28, 2021
27-year-old UG graduate now millionaire proposes to girlfriend on b’day in video

27-year-old UG graduate now millionaire proposes to girlfriend on b’day in video

August 9, 2021

‘It’s begging to be destroyed’: A stock trader who says he made more than $100,000 shorting the market during the 2008 crash just bet against the S&P 500 — and warns there’s a ‘fair chance’ stocks are about to drop 25%

September 11, 2021

Stocks tanked in the first quarter, and new research shows there should be a reversal by the end of June

April 15, 2022
USD/TRY Forex Signal: Continues to Free Fall

USD/TRY Forex Signal: Continues to Free Fall

0

Uber Hacking: Customers Not at Risk of Financial Crime, Says Minister

0

Black Friday Merchants Look to Extend Moment of Retail Optimism

0

Hotshot Snapchat Founders Face a Dilemma: Lie Low or Live Large?

0
USD/TRY Forex Signal: Continues to Free Fall

USD/TRY Forex Signal: Continues to Free Fall

May 24, 2022

Investing in the Stock Market Could Turn $500 a Month Into $500,000. Here’s How. | The Motley Fool

May 24, 2022

Social-Media Disruptor Project Liberty to Run on Polkadot’s Blockchain Network

May 24, 2022

Walmart expands its drone-delivery service to reach 4 million households

May 24, 2022

Recent News

USD/TRY Forex Signal: Continues to Free Fall

USD/TRY Forex Signal: Continues to Free Fall

May 24, 2022

Investing in the Stock Market Could Turn $500 a Month Into $500,000. Here’s How. | The Motley Fool

May 24, 2022

Categories

  • Bitcoin
  • Block chain
  • Business
  • Commodities
  • Ethereum
  • Financial Advisors
  • Forex
  • Investing
  • Litecoin
  • Market Insider
  • Personal Finance
  • Stocks

Site Navigation

  • Home
  • Contact Us
  • Privacy & Policy

We bring the Best and latest Crypto News

© 2022 JNews - Premium WordPress news & magazine theme by Jegtheme.

No Result
View All Result
  • Home
  • Business
  • Commodities
  • Crypto News
    • Block chain
    • Bitcoin
    • Ethereum
    • Litecoin
  • Finance
    • Financial Advisors
    • Personal Finance
    • Market Insider
  • Forex
  • Investing
  • Stocks
  • ICOs
  • Trading

© 2022 JNews - Premium WordPress news & magazine theme by Jegtheme.