An analysis of Ethereum Options at Deribit, a crypto derivatives trading platform, reveals that the trading community expects ETH prices to tank in days ahead.
A tweet from Skew, a real-time crypto market analytics platform, shows that a majority of Ethereum Options traders are bearish, and that there is a one-way flow of bearish positions as the number of Call_Sells outstrip Call_Buys, at 93% and 3% respectively.
Overly, this shows that traders’, despite bullish sentiments from coin holders and influential developers, are jittery, and bearish against the expectation of the developer community who are upbeat, banking on on-chain development to spur a price ETH rebound from spot rates.
Call_Sells Indicative of Ethereum Bear Pressure
— skew (@skewdotcom) December 11, 2019
Clearly, the prevailing sentiment is bearish and there are many traders waiting to buy ETH for cheap. That explains the high number of Call_Sells.
Call_Sells, unlike Call_Buys, is a bearish signal and occurs when the number of bulls, though upbeat, are bearish in the immediate term. 1,200 such positions were placed at Deribit as shown in the screenshot. For…
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Author: Dalmas Ngetich