Bitcoin Futures at Premium as March BTC Contracts Trade Over $100K
Bitcoin futures on Deribit have surged above the $100,000 mark, trading at a premium to its spot price of $97,200. The BTC futures contract expiring on March 28 is priced at $101,992, showing a nearly 5% premium. This indicates strong market confidence that Bitcoin will exceed $100,000 by March and continue climbing. Futures contracts for June and September are also trading higher at $104,948 and $107,690, respectively.
Bullish Outlook on Bitcoin Futures
The futures curve suggests growing optimism, with Deribit’s options market showing a $2.13 billion open interest in $100,000 call options. This points to increasing expectations that Bitcoin will reach and surpass this key price level.
Divergence Between Exchanges
Despite Deribit’s high premiums, Bitcoin futures on the Chicago Mercantile Exchange (CME) remain below $100,000, signaling caution among institutional investors compared to retail-driven exchanges.
In conclusion, while the futures market points to a bullish outlook for Bitcoin, institutional caution still contrasts with retail enthusiasm, suggesting a complex path ahead for the cryptocurrency.
FAQ
What is the current price of Bitcoin futures on Deribit?
As of now, Bitcoin futures expiring on March 28 are trading at $101,992, a 4.8% premium above the global average spot price of $97,200.
What is the significance of the $100,000 Bitcoin call option on Deribit?
The $100,000 Bitcoin call option on Deribit has a significant open interest of $2.13 billion, indicating strong bullish sentiment in the market.
Why are BTC futures trading above $100,000?
Futures contracts are trading above $100,000 due to expectations that Bitcoin’s spot price will exceed $100K by March 2024.
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