Bitcoin Sentiment Sparks a Bullish Bias
Net-Shorts Increase 238% Over The Past Week
Bitcoin: Retail trader data shows 90.0% of traders are net-long with the ratio of traders long to short at 9.05 to 1. The percentage of traders net-long is now its lowest since Nov 10 when it traded near 547.51. The number of traders net-long is unchanged than yesterday and 4.5% higher from last week, while the number of traders net-short is 91.3% higher than yesterday and 238.5% higher from last week.
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Bitcoin Sentiment Suggest Prices May Rise
We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests Bitcoin prices may continue to fall. Yet traders are less net-long than yesterday and compared with last week. Recent changes in sentiment warn that the current Bitcoin price trend may soon reverse higher despite the fact traders remain net-long.
--- Written by Fan Xu, DailyFX Research
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.