Covering Bitcoin’s Spot And Derivatives Market Dynamics
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In today’s Daily Dive, we’re covering some visuals to illustrate bitcoin’s spot and derivatives market dynamics. We can do this by looking at two key metrics compared to price: the futures perpetual funding rate and the long-term holder net position change.
As a refresher, the futures perpetual funding rate was covered more in-depth in The Daily Dive #097 – Derivatives Market Breakdown. It’s a key fee to observe, particularly when the market is overleveraged to 1 facet with the derivatives market having extra affect over the short-term worth.