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Due to the market turbulence caused by DeepSeek, the Bitcoin futures basis has turned negative for the first time since August last year.

BlockBeats News, January 28: K33 Research Director Vetle Lunde stated that the sharp drop in NVIDIA's stock price yesterday caused a chain reaction in the cryptocurrency market, prompting Chicago Mercantile Exchange (CME) traders to swiftly hedge risks. The Bitcoin futures basis has dropped to a negative value for the first time since August 2023, while the nominal open interest contracts saw the largest single-day decline ever, plummeting by as much as 17,225 bitcoins.

Reportedly, the futures basis is the difference between the futures contract price and the current spot price of the underlying asset, serving as an indicator of market sentiment and expectations. When the futures basis falls into negative territory, it indicates a shift to bearish sentiment. Amid escalating risk aversion sentiment, traders are willing to sell futures at a price below the spot price. (The Block)

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