Viewpoint: Risk aversion has led to a decline in BTC, and traders are buying on the dip

ChainCatcher news, according to CoinDesk, Kraken's derivatives head Alexia Theodorou stated that crypto traders are buying Bitcoin on Kraken as its price has dropped to a three-month low. Bitcoin has fallen below $88,000, while Nasdaq futures indicate that Wall Street's risk-averse sentiment continues, with the yen, as a safe-haven currency, and commodity currencies like the Australian dollar, which are sensitive to growth, remaining strong.

The decline in BTC occurred after Binance futures saw an increase of $1 billion in open contracts on Monday evening, likely due to traders anticipating further price drops and establishing short positions. However, bottom-fishing buyers have purchased BTC through Kraken, pushing the long-to-short ratio of perpetual contracts to a record 0.8. This suggests that traders may be expecting a rebound and are "buying the dip."