Key Points
- Bitcoin’s funding rate continues to drop, 1 day and a few hours ahead of halving.
- According to Matrixport, this shows traders have taken off bullish positions.
A new report from Matrixport shows that Bitcoin’s funding rate has continued to decline over the past few days, just a day and a few hours ahead of the halving event. Bitcoin’s halving is scheduled to take place on April 20.
The report shared on X by the financial entity, which is one of the largest crypto platforms in the world, reveals that the decline in Bitcoin’s funding rate shows that traders have taken off bullish positions. Also this means that the market is now relatively light-positioned through the derivatives market.
Bitcoin’s funding rate has continued to decline into the halving which is now only days away. The decline in the funding rate indicates that traders have taken off bullish positions and that the market is now relatively light-positioned through the derivatives market.
Access the… pic.twitter.com/uvfMgDz5X4
— Matrixport (@realMatrixport) April 18, 2024
Bitcoin’s price has seen high volatility during the past week, as various events took place that led to sudden price dips and unexpected rebounds after the geo-political issues over the past weekend.
At the moment of writing this article, Bitcoin is trading below $62k, down by more than 3% in the past 24 hours on CoinMarketCap.
This week began on an optimistic note and a surge in the coin’s price due to Hong Kong’s announcement regarding the approval of the first batch of Bitcoin and Ethereum ETFs.
Also, Galaxy crypto and blockchain leader seemed optimistic recently regarding more price accumulation potential ahead of the halving event.
However, Goldman Sachs analysts issued a warning regarding Bitcoin’s price. They noted the importance of caution that should be taken these days against extrapolating the past cycles and the impact of the halving event, considering the respective prevailing macro conditions.
BlackRock maintains optimism regarding Bitcoin
In a recent video addressing Bitcoin, BlackRock called the digital asset “the most widely adopted digital asset in the world.”
The asset management firm’s US Head of Thematics and Alternative ETFs, Jay Jacobs, addressed Bitcoin’s immense status and promise in a video published this week.
He wrote that April has been packed with various rare events, and all eyes are set on the upcoming Bitcoin halving event.
April is packed with rare events this year, with eyes set on the upcoming #bitcoin halving – a unique process that only happens every 4 years. Tune in below to learn how this impacts bitcoin's value, and for more about investing in bitcoin ETFs: https://t.co/hCGAfGXD8E pic.twitter.com/YdiJqZlFZu
— Jay Jacobs (@JayJacobsCFA) April 17, 2024
BlackRock was one of the most important firms to be greenlit by the SEC to issue the United States’ inaugural Spot Bitcoin ETF products.
Since its arrival in early January, IBIT has proven to be a massive success, driving the overall digital asset industry forward. Not too long ago, BlackRock also noted that their Bitcoin ETF product, IBIT, turned out to be the fastest-growing one in history.