Bitcoin Futures: A Crystal Ball for Crypto Speculators?

Bitcoin CME futures traders have their eyes on the prize as the latest price action closed above a key level, indicating a possible rally in the coming weeks. But what makes these traders so confident in using the Chicago Mercantile Exchange as their go-to source for crypto speculation?

It turns out that using Bitcoin CME futures as a crystal ball provides unique insights into the market that traditional cryptocurrency platforms can't deliver. The futures charts close down for weekends and holidays, creating gaps that don't appear on standard BTCUSD price charts. These discrepancies can lead to shakeouts and fakeouts that can trip up traders who rely solely on crypto platforms.

The Bollinger Bands, a well-known technical analysis tool, also come into play when using BTC CME futures as a crystal ball. The band's mid-BB, or basis line, acts as dynamic support and resistance, holding up or preventing price action from pushing further. This latest weekly close sees Bitcoin recovering above the mid-BB, confirming it as support and possibly indicating an impulsive uptrend.

Institutional traders that use BTC CME futures are looking to get a leg up on the competition and anticipate market movements before the rest of the crypto world catches on. With Bitcoin back above the mid-BB, could we see a repeat of history and a bull run in the near future? Only time will tell, but until then, savvy traders will continue to use BTC CME futures as their crystal ball for crypto speculation.

Want to learn more about exclusive crypto charts like this one? Check out CoinChartist's VIP membership for access to a dozen exclusive charts and insights into the ever-changing cryptocurrency market.