Bitcoin Net-Long traders Increased by 3.4% from Last Week
80.3% OF TRADERS ARE NET-LONG
Bitcoin: Retail trader data shows 80.3% of traders are net-long with the ratio of traders long to short at 4.07 to 1. The number of traders net-long is 0.9% lower than yesterday and 3.4% higher from last week, while the number of traders net-short is 5.8% higher than yesterday and 7.5% higher from last week.
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BITCOIN: PRICE MAY SOON REVERSE
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 Nancy Pakbaz, CFA, DailyFX Research
Follow Nancy on Twitter @NancyPakbazFX
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.