CME Bitcoin Futures Traders Increase Short Positions Ahead Of Fed Rate Announcement

According to BlockBeats, on September 18, K33 Research analysts reported that traders on the Chicago Mercantile Exchange (CME) have increased their short positions in Bitcoin futures ahead of the Federal Reserve's rate announcement scheduled for Wednesday. This move indicates a cautious market sentiment. Zimmerman, an analyst, explained that active market participants on the CME have added exposure to 5,500 Bitcoin over the past two days. The premium has hit a nine-month low, suggesting that the new positions are leaning towards Bitcoin shorts. The decline in CME Bitcoin futures premium could be attributed to hedging against the Federal Open Market Committee (FOMC) risks. This is typically a negative short-term signal, which may lead to increased market volatility following the FOMC announcement.