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Bitcoin has remained above 100 Thousand Dollars, but critical data has hit a bottom! What does this mean for BTC?
Bitcoin (BTC) is showing volatile movements ahead of the Non-Farm Payroll data, which is one of the indicators that the FED considers when making interest rate decisions.
Yesterday, during FED Chairman Jerome Powell's speech, Bitcoin, which saw levels above 107 thousand dollars, fell back to around 105 thousand dollars.
While there is curiosity about which direction the volatility in Bitcoin will concentrate and how the price will move, 10x Research noted that the CME Bitcoin futures premium has dropped to its lowest level of 4.3% since October 2023.
Markus Thielen, the founder of 10X Research, speaking to Coindesk, stated that the decline in the CME Bitcoin futures premium indicates a weakening of institutional demand.
The CME Bitcoin futures premium expresses the difference between the spot price and the futures price.
Thielen, noting that this decline in the CME Bitcoin futures premium comes despite the BTC price holding above 100,000 dollars, stated, "this also indicates that institutional interest has decreased, expectations for prices to rise further have weakened, and price uncertainty has increased."