Bitcoin has recently surged past $112,000, moving away from the previous week's $108,000 mark. Despite this increase, derivatives data reveals ongoing trader caution. The Bitcoin options market shows a skew of 9%, indicating a risk-averse sentiment as put options are priced higher than call options, suggesting traders are preparing for possible downturns. Demand for put options increased, reflecting a shift towards neutral-to-bearish strategies among traders. This cautious sentiment also stems from Bitcoin's failure to capitalize on new all-time highs in the S&P 500 and gold, compounded by negative labor market data influencing monetary easing expectations. Spot Bitcoin ETFs faced net outflows of $383 million recently, adding to the unease, while Ether is gaining traction as a corporate reserve asset. Perpetual futures funding rates are currently at a neutral 11%, showing minor improvement from previous bearish conditions, yet the overall market sentiment remains tepid. Traders are uncertain about driving prices towards $120,000 until spot Bitcoin ETFs stabilize, which could invigorate sentiment and market momentum.

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