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Analyst: Bitcoin options traders bet on price to break $100,000 in September

Analyst: Bitcoin options traders bet on price to break $100,000 in September

The Block2024/05/07 13:12
By: The Block

According to ChainCatcher, analysts say Bitcoin derivatives traders are betting on an optimistic price increase in September, breaking through the $100,000 mark, according to The Block.

Analysts at QCP Capital said that Bitcoin risk reversals have turned positive, and call options are now more expensive than put options, which means that investor sentiment is bullish and they are willing to pay higher prices for options that benefit from Bitcoin's rise. The analyst added: "We have seen a resurgence in demand for Bitcoin call options with a strike price of $75,000 in September, and demand for $100,000 call options has also increased."

Data from the Deribit derivatives exchange also confirms this observation. According to its data, the current largest trading volume in the options market by instrument is a Bitcoin call option with an expiration price of $110,000 at the end of September.

However, Stocklytics analyst Neil Roarty believes that for Bitcoin to reach a price point above $100,000, "it must demonstrate greater resilience in the face of increasing regulatory scrutiny and broader political and economic uncertainty."

Despite the bullish sentiment in the derivatives market, Bitfinex analysts have observed that the activity of Bitcoin whales may indicate further selling pressure in the short term. According to this week's Bitfinex Alpha report, the Bitcoin exchange whale ratio shows that selling pressure may increase. Such investors have been observed to be transferring more Bitcoin assets to exchanges, which increases the possibility that they may be ready to sell.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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