Bitcoin traders protect $92,000, but for how long?

Main Receptors:

After the $98,000 crash test, the BTC futures premium was held at around 5% and demand was unaffected.

Bitcoin ETFs saw $395 million in outflows as gold hit new records, weakening the appeal of skepticism and pushing traders to lower risk premiums.

Bitcoin (BTC) faced a 3.4% correction over the weekend as investors cut risk following global sociopolitical tensions and China posted its slowest economic growth since 2022.

A retest of $92,000 was held by bulls, as $215 million in leveraged BTC futures (buys) were forcefully canceled, with fears of a deeper price correction.

The Nasdaq index fell on Monday after US President Donald Trump announced plans for additional import tariffs targeting eight European countries to pressure negotiations over the acquisition of Denmark-controlled Greenland. European countries are now retaliating against US imports, according to Yahoo Finance.

Weak BTC derivatives flag fading demand and hedge appeal

US markets remained closed on Monday for a national holiday as investors sought safety in cash and precious metals. The Euronext 100 index fell 1.6 percent, while gold rose above $4,650 for the first time. As a result, even though Bitcoin quickly reached the $93,000 level, the broader market continues to view cryptocurrencies as risky assets rather than as an alternative hedge.

Bitcoin futures' annual premium (base rate) hovers near the neutral-to-depression level of 5%, indicating that bullish demand supported by Wednesday's failed attempt to recapture $98,000 has not been affected. Still, the lack of enthusiasm in the BTC derivatives markets may be dampening interest from institutional investors.

Bitcoin spot exchange-traded funds (ETFs) recorded net inflows of $395 million on Friday, further weighing on trader sentiment. As gold and silver prices push to all-time highs, Bitcoin's appeal as a hedge seems less compelling. In response, professional traders demand high premiums to provide low protection.

The delta skew of BTC options at Deribit jumped to 8%, indicating that put (sell) options are trading at value. In independent market conditions, this indicator usually ranges from -6% to +6%. As a result, the recent decline in the price of Bitcoin has caused whales to lose confidence in a crash above $100,000. Macroeconomic conditions continue to dominate headlines and in turn shape traders' risk appetite.

George Saravelos, head of FX research at Deutsche Bank, said: “European countries own $8 trillion of US bonds and stocks, twice as much as the rest of the world combined.” Therefore, if the “Western Union” ceases to exist, Europe may not be “willing” to support the US dollar.

China's economy grew 4.5 percent year-on-year in the final quarter of 2025, down from 4.8 percent in the previous quarter. Strong exports helped offset weak consumer spending and business investment, the Associated Press reported. Analysts warn that consumer stimulus policies introduced in 2025 could be rolled back, while a global trade war could weigh on exports.

Related: US Bitcoin Traders Flip Bear–BTC Price in Danger of Losing $90K?

The decline in Bitcoin network activity has raised concerns as healthy demand for blockchain is essential to investment in mining. Bitcoin mining revenue consists of a fixed 3.125 BTC block reward and transaction fees. Daily active addresses fell to 370,800, down 13 percent from two weeks ago, Nansen said.

Given the weakness in BTC derivatives benchmarks, there are few signs of holding the $92,000 level as investors worry about the global economic slowdown and the Trump administration's intentions to own Greenland and its current involvement in Venezuela.