The crypto market operates 24/7 without sleep, but traditional finance has working hours. This discrepancy between the CME and the spot market creates an exciting phenomenon known as the CME Gap. It is one of the most reliable indicators of cash flow direction.
🔸 The CME closes on Friday evening and opens on Monday morning.
CME closes on Friday with Bitcoin at $60,000. Over the weekend, good news emerges, and Bitcoin rises to $62,000.
When the CME opens on Monday, the starting price is $62,000. A price gap appears on the chart from $60,000 to $62,000.
🔸 Historical statistics show that approximately 90-95% of CME Gaps eventually get filled. This means that the price will return to the $60,000 area to close this gap before resuming the main trend.
This is driven by arbitrage bots and institutional market makers who work on balancing books and liquidity between futures and spot markets. The gap acts as a magnet pulling the price back.
🔹 If at the beginning of the week you see Bitcoin rising sharply, creating a large CME Gap below, do not succumb to FOMO. There is a high probability that this is a false rise.
Patiently place limit buy orders right in the old Gap zone. Institutional money typically comes back to pick up the most patient passengers at this station.
Open the Bitcoin CME futures chart. Are there any unfilled Gaps below? If so, are you ready to bet that the price will return there to pick you up, or do you think this time it’s different?
News is for informational purposes only and not for investment advice. Please read carefully before making decisions.
