standing favorable positions among traders.

While this may augur well for the short-term price trend of the cryptocurrency, as it shows some subtle signs of strength, it is important to keep in mind that this premium can change at any time if Bitcoin is experiencing massive volatility.

Option traders also pay a premium for calls - suggesting that they also believe Bitcoin is ready to see a little more upside.

Bitcoin rise from weekly lows triggers “FOMO” among futures traders

The bitcoin   has experienced a notable increase from its weekly low of less than $ 8800, which have been set there a few days.

After buyers displayed a fiery defense of this level, the cryptocurrency was able to peak at $ 9,700. Although it has since lost momentum, it is still showing signs of strength as it hovers in the $ 9,000 region.

Futures traders seem to have noticed this new strength, as the premiums for BTC futures have increased sharply over the past week. A similar trend can be observed when looking towards option contracts.

This shows that traders are willing to pay more for long exposure to the cryptocurrency.

Arcane Research spoke about this trend in a recently published research report, noting that this uptrend came largely from the CME as well as from some other platforms focused on the retail industry.

“ BTC futures premiums have soared this week as the price of bitcoin climbs again.”

It is important to note that these bonuses can disappear quickly, especially when Bitcoin shows volatile movements.

Arcanum in also spoke, explaining that premiums have gone several times in the time that followed the crash of mid-March.

“However, that can change quickly. We have seen it several times since the market collapse in March and traders should watch out for the liquidation of leveraged positions. "

CME traders are largely responsible for this bonus

It is important to note that traders on the CME are largely responsible for this premium, signaling that institutional investors largely anticipate that the benchmark cryptocurrency will see a further rise.

"The CME and retail-focused platforms appear more optimistic, with annualized premiums for June contracts exceeding average levels since late January."

Data shows that the CME futures premium for June 2020 contracts is 0.84%, while that seen on more retail-focused platforms is around 0.55%.

The disparity in premiums is even greater for the contracts of September 2020, the CME reaching 1.99% against 1.40% on the other platforms.