Continuation to my previous post on “Who moves the market”
Most people don’t even know the Commitment of Traders report exists.
Even fewer know how to read it. And almost nobody uses it the right way.
COT is not a magic bullet. It’s not going to tell you “buy BTC at 65k” or “short at 72k.”
But what it will tell you is where the real positioning is building up weeks before it shows up in price.
You’ve got three main players in the COT report:
Commercials (hedgers), Non-Commercials (speculators), and Retail/Other.
Commercials are the smart money, like miners, institutions, big players managing actual exposure.
Non-Comms are hedge funds and CTAs chasing trends.
Retail is… well, retail.
When you see Commercials stacking long contracts as price bleeds lower? That’s not noise. That’s value buying.
When specs are max long into a vertical pump and commercials are fading it? That’s distribution. That’s the kind of signal you respect.
I watch COT for BTC (CME: BTC1!) every single week. Not to time entries, but to anchor bias.
Because if Commercials are shorting into strength while you’re aping memecoins off some influencer’s chart, you’re not trading. You’re gambling.
Know who’s behind the move. Know what side they’re on.
Because if you’re fighting the people moving real size, you won’t last long.
Next time I’ll walk you through how I interpret the COT Index and what to watch for when positions flip.
