Bitcoin (BTC) experienced an amazing 7%correction on January 27 and fell to less than $ 98,000 for the first time for the first time in 10 days. Regardless of the factors that lead the movement, Bitcoin’s price is struggling to recover the level of $ 100,000, and traders have questioned whether the strength of strength has gone.
Bitcoin derivatives metrics remained stable at $ 97,754 despite the price drop of $ 7,320. However, the Chinese market stablecoin indicators have been conquered in the region’s cryptocurrency demand.
The Bitcoin futures and options market showed elasticity.
Bitcoin Future Annual Premium, which measures how monthly contracts are traded in connection with SPOT Market, offers major insights to utilize demand. Premium levels between 5% and 10% are considered neutral, while more than this range reflects optimism.
Bitcoin Gift 2 months annual premium. Source: LAevitas.ch
BTC FutureS Premium continued to maintain 10% neutral thresholds despite the surge of the lowest level in 10 days at the temporary level of Bitcoin. This suggests that there is no significant demand for signs of panic or weak leverage (shorts).
Similarly, the Bitcoin option SKEW, which measures the price difference between calls (purchases) and PUT (SELL) options, was not significantly affected. In the neutral market, 25% delta distortion is generally between -6% and +6%, which represents a strong sentiment.
Bitcoin 30 -day option 25% delta distortion, foot call. Source: LAevitas.ch
The BTC options were simply moved from -7%to -2%to get out of the optimistic area. However, professional traders quickly adjusted their positions and returned the metrics to -6%near the boundary of the neutral market. More importantly, the dip of less than $ 98,000 does not cause excessive fall, showing elasticity in the derivatives market.
Bitcoin and encryption market feelings are still cautious
It is important to analyze China’s stable demand to evaluate whether emotions are limited to bitcoin derivatives. When a trader ends the cryptocurrency market, the USD Tether (USDT) is usually traded at a discounted price for the official comfort exchange rate. On the contrary, during the bull run, Stablecoins can be traded at a premium of more than 1.5%.
USD Tether (USDT) Official USD/CNY fee. Source: OKX
Currently, USD Tether has a 0.7% discount on the official USD/CNY rates and signals the sales pressure moderately. However, this indicates a recent improvement in USDT at a 1.5% discount. This trend has been noticeable since January 19, just after Bitcoin recovered $ 10,000 compared to this resistance.
According to the data in the derivative market, professional traders are carefully optimistic and Bitcoin is relatively comfortable with more than $ 100,000. But China’s overall cryptocurrency demand is still weak. Perhaps external factors are weighted on emotions.
relevant: The analyst said that Bitcoin can raise $ 15 million to the top before repeating the 2017 cycle.
One of these factors is an emerging sign of the global economic speed, allowing investors to avoid dangerous assets. In addition, due to the competition of Chinese AI company DEEPSEEK, the weaknesses of AI stocks on December 27 have been selling. Bitcoin historically shows a low correlation with technology stocks, but traders have reduced their risk as the traditional market uncertainty rises.
For long -term bitcoin investors, the outlook is “full of half”. Eventually, investors will turn into a lack of assets such as Bitcoin as a hedge to inflation central banking policy. But in the short term, Bitcoin is unlikely to reach a new all -time high.
This article is for general information purposes and should not be considered legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.