VanEck’s Head of Digital Asset Research Matthew Sigel is turning more bullish on Bitcoin (CRYPTO: BTC) as the derivatives market reaches the 99th percentile for protection demand — a long signal, according to Sigel.
The Derivatives Flip
“What’s happened in the derivatives market for Bitcoin leaves me much more bullish,” Sigel told Anthony Pompliano on Wednesday.
“If you look at what you have to pay for puts versus calls, it’s like we’re in the 99th percentile here of folks paying up for protection. That’s a contrarian long signal,” he added.
Additionally, coins that are 3-5 years old that haven’t moved in that timeframe started selling heavily in Q4 and Q1 as early cycle buyers took profits.
That selling has eased up in recent weeks, with Marathon Digital Holdings (NASDAQ:MARA) retiring convertible bonds representing one exception.
“We’re still bullish, but we haven’t added maybe as much as you might expect given that kind …