There was a noteworthy signal regarding the spot premium of BTC over the weekend:
During the process of the price dropping from 106k to 103k, the spot premium has shown a continuous increase, which indicates a sustained demand for spot entry and a large number of futures shorts opening positions, possibly accompanied by the liquidation of futures longs. This situation is a standard case of spot-futures divergence, thus it indicates a short-term shorting risk! Since the left interval has indeed been broken, it should be bearish from the perspective of the trend structure. However, the liquidity within the market is attempting to negate this structural breakdown, causing both the price and the premium to rise simultaneously. Therefore, for the bulls, it is advisable to wait and not go long, but for the bears, one must be careful of being pulled back to a stop loss at 106.6k after shorting...
The content is for reference only, not a solicitation or offer. No investment, tax, or legal advice provided. See Disclaimer for more risks disclosure.
23 Likes
Reward
23
8
Share
Comment
0/400
Second_Wind
· 06-01 14:40
Ape In 🚀 Bull Run 🐂 HODL Tight 🚀 1000x Vibes 💪 2025 GOGOGO 👊
Reply0
Ryakpanda
· 06-01 01:09
Steadfast HODL💎
Reply0
APersonIsAGuestAt
· 06-01 00:57
Hurry up and enter a position!🚗
Reply1
Ybaser
· 06-01 00:54
Thank you very much for the enlightening and useful details.
There was a noteworthy signal regarding the spot premium of BTC over the weekend:
During the process of the price dropping from 106k to 103k, the spot premium has shown a continuous increase, which indicates a sustained demand for spot entry and a large number of futures shorts opening positions, possibly accompanied by the liquidation of futures longs.
This situation is a standard case of spot-futures divergence, thus it indicates a short-term shorting risk!
Since the left interval has indeed been broken, it should be bearish from the perspective of the trend structure. However, the liquidity within the market is attempting to negate this structural breakdown, causing both the price and the premium to rise simultaneously.
Therefore, for the bulls, it is advisable to wait and not go long, but for the bears, one must be careful of being pulled back to a stop loss at 106.6k after shorting...