Bitcoin: Number of traders net-short increases by 11.1% from last week
Bitcoin: Retail trader data shows 79.5% of traders are net-long with the ratio of traders long to short at 3.87 to 1. The number of traders net-long is 0.8% higher than yesterday and 5.4% lower from last week, while the number of traders net-short is 2.6% lower than yesterday and 11.1% higher from last week.
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Bitcoin: Recent changes suggests stronger bearish trading bias
We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests Bitcoin prices may continue to fall. Traders are further net-long than yesterday and last week, and the combination of current sentiment and recent changes gives us a stronger Bitcoin-bearish contrarian trading bias.
-Written by Tammy Da Costa, DailyFX Research