Bitcoin BTC traders are increasingly chasing higher-level call options on Deribit, signaling that they are preparing for renewed bullish price volatility.
“Vols remain pinned near historical lows, but a decisive breach of the $110k resistance could spark a renewed volatility bid. Some larger players appear to be positioning for just that,” Singapore-based QCP Capital said in a market update.
“They are continuing to add exposure to September $130k calls, while steadfastly holding September $115/$140k call spreads, underscoring a structurally bullish Q3 outlook,” QCP added.
A call option gives the purchaser the right, but not the obligation, to buy the underlying asset at a predetermined price on or before a specific date. A call buyer is implicitly bullish on the market. In other words, buyers of the $130,000 strike call expect BTC’s spot price to rise above that level.
BTC’s price has been stuck between $100,000 and $110,000 for over 50 days as selling by wallets with a history of holding coins for the long term counteracts ETF inflows.
Volatility may pick up soon as the June Fed minutes are due for release on Wednesday. Further, the 90-day tariff pause for many U.S. trading partners has reportedly been extended to Aug. 1.
Read MoreCoinDesk: Bitcoin, Ethereum, Crypto News and Price Data[#item_full_content]
A stronger yen typically coincides with de-risking across macro portfolios, and that dynamic could tighten…
Bitcoin (BTC) is retesting a crucial support area after its price slid 5% from the…
Despite the Bitcoin price recovery above the crucial $90,000 threshold—a level that has historically served…
Fundstrat’s Tom Lee told attendees at Binance Blockchain Week that he believes the worst leg…
The Binance Blockchain Week event in Dubai became the center of a high-stakes showdown between…
Crypto analyst Miles Deutscher has issued one of the most forceful bottom calls of this…