Singapore-based trading firm Presto Labs is advising clients to bet on BTC strength and short BCH to profit from ongoing Mt. Gox repayments. Hundreds of millions of dollars worth of Bitcoin flowed into the market last week as defunct exchange Mt. Gox finally began paying creditors affected by the 2014 hack. More than $73 million worth of BCH and about $9 billion worth of BTC will be distributed to traders in the coming months.
Presto analyst Peter Chung said that analysis shows that BCH will see four times more selling pressure than BTC, or 24% of BCH's daily trading volume compared to 6% of BTC's daily trading volume. Unless there is funding rate risk, long BTC perpetual contracts paired with short BCH perpetual contracts is the most effective market-neutral way to express this view. (Coindesk)