Bitcoin stalls at $110K but institutional investors continue gobbling up BTC

Investor sentiment improved on May 26 after US President Donald Trump postponed his retaliatory European Union 50% tariffs on imports. European stock markets responded positively to the development, but Bitcoin was unable to hold the $110,000 level, leading traders to question whether a new all-time high remains within reach. Even if Bitcoin revisits the $105,000 mark, rising institutional interest and robust derivatives markets indicate that bullish traders are neither overleveraged nor concerned about a potential correction.

Bitcoin 2-month futures annualized basis rate. Source: laevitas.ch

Demand for leveraged long Bitcoin positions grew, as evidenced by the BTC futures premium increasing to 8% on May 26. Although this was a modest rise from 6.5% the previous day, the metric still sits comfortably within the neutral range of 5% to 10%. For context, in December 2024 the Bitcoin futures premium surged to 20% when BTC surpassed $100,000 for the first time.

While Bitcoin derivatives metrics remain healthy, upcoming economic data will be critical for market sentiment. Investors are closely watching the Richmond Fed manufacturing index due on May 28, followed by the PCE inflation data on May 30. These indicators will likely influence risk appetite and the chances of Bitcoin breaking above the $112,000 mark in the short term.

Source: CoinTelegraph

Futures Market Updates

Looks like there can be more chances for BTC to rise, hence the general sentiment is still bullish.

Bitcoin Futures Updates

Total BTC Open Interest: $76.35B (-0.87%)

BTC Volume (24H): $100.32B (+10.23%)

BTC Liquidations (24H): $23.40M (Long)/$43.72M (Short)

Long/Short Ratio: 49.95%/50.05%

Funding Rate: 0.0071%

Ether Futures Updates

Total ETH Open Interest: $33.32B (+1.18%)

ETH Volume (24H): $56.41B (+5.95%)

ETH Liquidations (24H): $24.46M (Long)/$22.40M (Short)

Long/Short Ratio: 49.82%/50.18%

Funding Rate: 0.0084%

Top 3 OI Surges

CHESS: $12.55M (+212.04%)

DOLO: $10.09M (+201.63%)

MYX: $5.17M (+200.29%)