The prolonged negotiations between the US and Iran, coupled with the Federal Reserve’s (FED) tight monetary policy messages under new chairman Kevin Warsh, and decreased appetite for risky assets, caused Bitcoin to fall. However, according to the data, the decline in Bitcoin is not over, and preparations for a $52,000 level have begun.
According to Deribit data, $BTC options traders are buying put options, betting that the price will fall as far as $52,000.
According to Deribit data, there has been significant buying activity in short-term and near-term put options in the last 48 hours. Specifically, there was considerable buying activity in put options expiring between June 22nd and July 31st.
Accordingly, Bitcoin options traders are betting that the price could fall to $52,000 within a few weeks.
According to the data, prominent levels among investors included put options with a strike price of $61,500 for a June 22nd expiry; $60,000 and $55,000 for July 3rd; $55,000 for a July 10th expiry; and $52,000 for a July 31st expiry.
According to analysts, the options market is not the only reason for the pressure on Bitcoin. This downward trend in $BTC stems from the strengthening US dollar following the Fed’s hawkish statements, continuous outflows from spot $BTC ETFs, and concerns surrounding MicroStrategy (MSTR).
*This is not investment advice.
Leave a Reply