After printing a number of records in Q1, 2020, Bitcoin (BTC) contracts may turn the tables on the last hope for Bitcoin (BTC) bulls.
Watch the rolls
The skew analytical team, which tracks Bitcoin (BTC) and cryptocurrency derivatives trading, predicts the significant impact of the upcoming expiration of contracts.
According to the researchers, 23,000 Bitcoin (BTC) equivalent futures and 10,000 Bitcoin (BTC) options are set to expire this Friday on Chicago Mercantile Exchange.
These impressive numbers account for 50% of all open interest for each product at printing time.
Let us recall that the Bitcoin (BTC) futures open interest on CME witnessed solid growth this spring. The figure spiked 900% in one month.
The overall Bitcoin (BTC) market sentiment is adding fuel to the fire on the eve of this huge expiration.
The bullish momentum of the first days of May has been replaced with a deep bearish correction. As a result of two massive Coinbase sell-offs, Bitcoin (BTC) is trading 11% down from its local high.
Some patterns revealed by top traders unveil that this painful correction may be nowhere near its end.
According to seasoned trader and analyst, Scott Melker, the Bitcoin (BTC) price tanked below its 200 moving average (MA) on the four-hour time frame which may bring about more pain for bulls.