Bitcoin: Large speculators on the CME are actively selling and buying

The Commodity Futures Trading Commission (CFTC) reported, for the week ending last Tuesday, that the Commitments of Traders (COT) reports showed.

Non-commercial large speculators decreased their net position to sell Bitcoin contracts by 0.07 thousand, bringing it down to 1.68 thousand. This follows a sharp two-week increase in their net position, which had reached its highest levels since July 11.

Operator hedgers decreased their net position to purchase Bitcoin contracts by 0.11 thousand to 0.79 thousand after opening it for the first time in over a month. This follows the net position reaching its highest levels since July 4th.

After a week's break, small speculators (NONREPORTABLE POSITIONS) increased their net position to buy Bitcoin contracts by 0.04 thousand contracts, bringing the total to 0.88 thousand. This is the highest net position since July 18, and small players have been increasing it for 5 out of the last 6 weeks.

The open interest rose by 2,150 contracts to a total of 21,750.

The ratio of the number of contracts to sell to the number of contracts to buy for the bearish index of large speculators decreased from 1.11 to 1.10 over the week.

Data from the Bitcoin Commitment of Traders (COT) report indicates that bullish sentiment among large speculators is on the rise. Over the past week, large funds have been actively buying and selling Bitcoin, resulting in a slight decrease in the very large net position on the decline of BTC. Additionally, the net position has started to decrease from levels close to those seen in July, which was the highest in the past two years. If this trend continues, it could be a positive sign for the future of the cryptocurrency.

Hedgers who are in it for the long haul also slightly reduced their considerable net position as BTC dropped.

After a week-long hiatus, small investors resumed increasing their net holdings in Bitcoin. This time, the sentiment of small traders was in line with that of large traders, which is not a common occurrence.

BTC

The most recent COT report was postponed due to US holidays. COT reporting data is essential and is mainly used for medium to long-term trading. Generally, large speculators, NON-COMMERCIAL (banks, investment funds) trade in the same direction as the trend (blue line). Small speculators, NONREPORTABLE POSITIONS, however, usually do not have a major impact on the market (red line). Hedgers, COMMERCIAL (operators, large companies) usually trade against the trend (black line). The net position is the difference between the number of buy and sell contracts. Open interest is the total of all open positions in the market.