Analysis: Active Bitcoin long contract positions are significantly higher than short contracts, indicating bullish market sentiment

QCP Capital said in a report on Monday: "Bitcoin volatility and funding rates reversed and rebounded from last Friday to the weekend, and we saw some bullish follow-through. BTC risk reversals have turned positive (call options are more expensive than put options), and demand for BTC September expiration $75,000 and $100,000 calls has re-emerged." OTC agency Paradigm made a similar observation on Monday, saying that demand for OTM call options, that is, call options that are far above the current market price of Bitcoin, has increased. It said: "The options market appears to be anticipating a short-term rally early this morning, with BTC and ETH trading highest on Paradigm, including large-scale buying of OTM call options. We noticed that the previous buyer of the $200,000 March 2025 (expiration) call option closed out and bought the $85,000 July 2024 (expiration) option." Data from Deribit shows that traders have locked in more than $688 million in $100,000 strike call options of various maturities, which is the highest notional open interest of all options on the exchange. (CoinDesk)