A recent analysis has found that hedge funds currently hold net short positions on Bitcoin and Ethereum futures. This strategic move reflects a cautious stance in the volatile market dynamics and speculative trading activities.
The report points out that the net short status represents a broader sentiment in hedge funds, which may be driven by various hedging strategies rather than a thorough pessimism about the future value of cryptocurrencies. The study emphasizes this trend as the derivative market, especially perpetual futures contracts, remains an important stage for high-risk speculation and price discovery in the crypto industry.