Bitcoin price weakens, but BTC derivatives remain healthy
Bitcoin derivatives reflect traders’ confidence in the market and suggest the current price action is just a consolidation phase.
Bitcoin (BTC) has struggled to rally above $98,000 from Nov. 25 to Dec. 2, frustrating investors despite achieving a 38% monthly gain. Market participants worry that prolonged consolidation below the $100,000 psychological barrier could embolden bearish strategies to suppress BTC’s price.
Bitcoin 2-month futures annualized premium. Source: Laevitas.ch
Derivatives markets suggest resilience, with traders paying a 17% annualized premium for leveraged positions compared to the BTC spot price. While lower than the 40% levels typically observed during strong bull runs, the current premium reflects healthy bullish demand and does not indicate excessive optimism.
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Author: Marcel Pechman
