– BlackRock ETF’s IBIT Sees Two-Month Bearish Sentiment Persist – Traders Favor Protective Puts Over Calls in BlackRock’s Bitcoin ETF – BlackRock’s Bitcoin ETF Struggles to Break $70 Amid Bearish Trend
Key developments regarding BlackRock's Nasdaq-listed spot bitcoin (BTC) exchange-traded fund (IBIT) indicate a concerning trend:
- IBIT's one-year put-call skew, reflecting market sentiment, turned positive on July 25 and has stayed above zero for two months, indicating a bearish put bias.
- This suggests traders prefer protective puts over bullish calls, signaling caution or risk aversion.
- A similar pattern occurred from March 8 to April 21, coinciding with sharp declines in IBIT and BTC prices due to Wall Street weakness.
IBIT's Price Trend Analysis
- Since July, IBIT's price trend has stalled, consistently failing to exceed the $70 mark.
- Recently, it formed a "lower high" at $66, indicating weakening buying pressure and stronger seller influence.
- The lower highs pattern suggests potential downtrend or bearish momentum.
