How to use CFTC Commitment of Traders (COT) report to trade forex.
Author
Kathy Lien
BKTraders and Prop Traders Edge
Having graduated New York University’s Stern School of Business at the age of 18, Ms. Kathy Lien has more than 13 years of experience in the financial markets with a specific focus on currencies.
Ripple and Stellar remain under pressure on Tuesday after a mild recovery following a massive correction in the previous week. Weakening derivatives positioning, alongside mixed on-chain data for both XRP and XLM, suggests that any recovery rallies are likely viewed as corrective within a broader bearish context. Derivatives data shows a bearish tilt.
The broader cryptocurrency market remains under pressure, with Bitcoin trading around $62,000 on Tuesday, while market-wide Open Interest stabilizes after hitting a two-month low. Reduced leverage exposure reflects a risk-off phase, as supported by the Fear and Greed Index, which indicates extreme fear in the market.
Crypto market sectors real-world assets and quantum-resistant cryptocurrencies recorded notable gains despite broader macroeconomic pressures, according to a Binance Research report on Monday. The report stated that the total crypto market cap declined 3.3% in May to $2.55 trillion as inflation concerns, rising bond yields and shifting expectations for Fed policy weighed on risk assets.
