• Retail investors
    Bitcoin,  Cryptocurrencies,  United States

    Dumb money keeps buying bitcoins from smart money, data comfirm

    Big financial institutions and money managers continue a bearish position in the cryptocurrency’s futures contracts

    “Smart money” continues to sell bitcoin to “dumb money”, according to the latest data compiled in the U.S. Commodity Futures Trading Commission’s (CFTC) Commitment of Traders report. Big financial institutions and money managers—with vast research and resources at their disposal—continue to hold positions in the cryptocurrency that will profit should bitcoin prices fall. They have been positioned that way since bitcoin contracts began trading more than three months ago. These institutions are net short some 1,833 contracts of bitcoin futures worth about $20 million on the Chicago Board Options Exchange (CBOE) as of February 27, 2018. A futures contract is an obligation for the “short” (the seller) to deliver on a…