CME Bitcoin basis climbs to three-month high, but offshore perpetual contract market sends mixed signals

according to Bloomberg, the basis difference of Bitcoin at the Chicago Mercantile Exchange (CME) (i.e. the price difference between spot and futures prices) has climbed to a three-month high. At the same time, the number of open positions in the market has moderately increased, showing early signs of healthy and clear bullish positions. Meanwhile, in the Bitcoin options market, heavy positions used to hedge against significant downside risks are gradually being unwound, but the offshore perpetual contract market is sending out different signals.

In the past few days, the open interest in perpetual contracts has significantly increased. Over the past 36 hours, the nominal open interest has surged by 8.4%, and the funding rate has remained in negative territory, indicating a slightly bearish sentiment in the market. The so-called "perps" (perpetual contracts) are the main tool for non-U.S. investors to bet on crypto assets, with no expiration date and the transfer of holding costs through funding rates. If the funding rate is negative, it indicates an overall bearish market.