Hedge Funds Heavily Betting For Bitcoin To Fall: Will This Strategy Fail?

Hedge Funds Heavily Betting For Bitcoin To Fall: Will This Strategy Fail?


Looking at the formation in the daily chart, there is no relief for Bitcoin at spot rates. Following the flash crash on June 6, prices reversed sharply from the $72,000 level, further highlighting the significance of the liquidation level.

In the past, Bitcoin prices have recoiled from this level, with analysts expecting a short squeeze to print once this line is breached.

Hedge Funds Are Short Selling Bitcoin Futures: Will This Strategy Backfire?

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Amid this slip, one analyst on X notes that hedge funds and Wall Street firms have increasingly taken short positions on Bitcoin futures contracts, expecting BTC prices to plunge.

Though they could be net long on the spot market, taking advantage of the fee differential, the trader notes that this

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