VanEck Research Director: BTC derivatives protective demand reaches historical extreme levels, signaling a contrarian bullish indicator

ME News message, April 4 (UTC+8), VanEck research chief Matthew Sigel posted on the X platform to analyze and指出 that the current demand for protection in the Bitcoin derivatives market has risen to the 99th percentile of history. It is often viewed as a “contrarian long signal” under extreme risk-averse sentiment in the market, and he judges that the market is currently suitable for establishing long positions. Since inception, the VanEck Digital Transformation ETF (NODE), which Matthew Sigel also manages, has gained 27%, while Bitcoin has fallen 33% over the same period, achieving lower volatility through diversified allocation and a focus on profit-generating sectors. However, he also warns that if large capital expenditures by companies in the artificial intelligence (AI) sector fail to produce corresponding returns, it may pose substantial pressure on the market, especially in a backdrop where weights are concentrated in S&P 500 constituent stocks. Note: Percentiles are a statistical positioning concept. The 99th percentile represents a relatively extreme degree, while the 50th percentile represents the horizontal median. (Source: ChainCatcher)