Reported about 1 year ago
Bitcoin futures are experiencing a record high in net short interest among leveraged funds, largely attributed to the increasingly popular basis trade strategy which seeks to profit from discrepancies between spot and futures markets. With almost 18,000 CME Bitcoin futures contracts in short interest, valued over $7.5 billion, experts note that the strategy has gained traction since the introduction of spot-Bitcoin exchange-traded funds in January, allowing traders to profit by buying ETFs and selling futures at higher levels. While this trade is currently popular, it should not be viewed as the main driver of ETF flows, according to analysts.
Source: YAHOO