CME dealers opening a massive amount of long positions is particularly bullish for Bitcoin, especially when considering their past performance. Notably, these same dealers took substantial short positions when Bitcoin was trading at $48,000, just before the price plummeted to $15,000 during the last bear market. This history of accurately timing major market movements strengthens the case that their current long position signals an impending price increase for Bitcoin.
Source: https://www.cmegroup.com/
The graph above highlights a bullish signal from institutional dealers. Their sudden and significant shift toward long positions, coupled with a reduction in short positions, suggests they are expecting a notable rise in Bitcoin’s price in the near future. Given that dealers typically act as liquidity providers and have a strong track record of anticipating market movements, this data points to growing confidence in a Bitcoin price rally.
Now, with dealers doubling the number of long positions over shorts, this shift marks the largest open long positions in over a year. Their directional bet on Bitcoin’s rise, combined with asset managers reducing their long exposure, creates a strong confluence of indicators suggesting Bitcoin is primed for significant upward movement. While short-term volatility may still occur, the dealers’ confidence reduces the likelihood of a major pullback or a return to bearish market conditions.
If you're worried about missing out, don’t be. It's not too late—you are still early. Now is the time to get in. If you have long-term conviction in the crypto space, it’s a great opportunity to enter the market. Contact your Stormrake Crypto Broker to take advantage of these golden opportunities.
Stormrake Spotlight: APE ($1.57)
Stormrake Spotlight: APE ($1.57)
If you’re new to the crypto space, you may be unfamiliar with ApeCoin. ApeCoin is a governance token for its own ecosystem, created by Yuga Labs, the creators of the infamous Bored Ape Yacht Club (BAYC) NFTs that were selling for upwards of $500,000 USD in 2022. Last week, Yuga Labs finally launched their own blockchain, ApeChain, which allows APE to be sent cross-chain between Ethereum and Arbitrum. This launch caused the price of APE to surge from $0.75 to a peak of $1.75 (a 132% rise) before settling around $1.58 (a 107% rise) since Sunday.
This is more of a coin to watch rather than buy into right now…
BTC/USD Key Levels and Price Action:
BTC/USD Key Levels and Price Action:
The monthly CPR resistance continues to challenge Bitcoin, as it has once again rejected BTC and driven the price lower. After finally breaking through the 21 EMA support, BTC has continued down to the previous support of $66.8k and the two 200 moving averages. BTC has also seen a bearish cross between the 21 and 55 EMAs, signaling a short-term trend reversal. The key level of $66.8k remains crucial for Bitcoin. While this may indicate a short-term bearish flip, the long-term trend remains bullish, presenting an opportunity to buy the dip.
BTC Total ETF Flows for 21 Oct: $ - 40.6 million
(ETF flow data is sourced from https://farside.co.uk/btc/ and reflects figures at the time of writing.)
ETH/USD Key Levels and Price Action:
ETH/USD Key Levels and Price Action:
Ethereum appears to be lagging behind Bitcoin in its downside move based on moving averages. ETH has fallen more than BTC over the last 24 hours, but while Bitcoin has already reached its 200 moving averages and seen a bearish trend flip, Ethereum has yet to experience this. It’s likely that ETH will soon flip bearish and approach the 200 MA around $2,630. Should this level fail, expect the next support to be at $2,556.
ETH Total ETF Flows for 21 Oct: $ -25.7 million
(ETF flow data is sourced from https://farside.co.uk/eth/ and reflects figures at the time of writing.)
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Written by Alexandar Artis
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