K33 Research: Bitcoin's speculative frenzy is starting to show signs of cooling in futures markets

The premium on CME bitcoin futures contracts relative to the price of the cash market has fallen, according to K33 Research. Unpositioned squaring contracts for put options with a strike price of $80,000 have surged in the past 24 hours, according to crypto data tracker Amberdata. "The market seems to be cooling and [the premium on] the CME benchmark contract has been lower since yesterday's close, hovering around 10 per cent throughout the day, down from 13-16 per cent since the US election, which could be a subtle hint of an easing risk profile," said Vetle Lunde, head of research at K33 research. The position squaring of leveraged bullish bets across the crypto market contributed to bitcoin's retreat from record highs. According to data compiled by Coinglass, long positions squaring twice as much as bearish positions in the past 24 hours at $447 million and $207 million, respectively.