Bitcoin’s week-long bout of consolidation appears to be leading options traders to grow increasingly bullish on the cryptocurrency
Data shows that options traders are nearly all anticipating BTC to see further upside in the weeks and months ahead
There are multiple factors, however, that suggest it is poised to see downside in the near-term
These factors include rising funding, a high quantity of underwater long positions, and its multiple failed attempts to break above $10,000
Bitcoin has been seeing lackluster price action as of late. It has largely been consolidating over the past week, with buyers being unable to catalyze and upside movement due to the resistance at $10,000.
Analysts do believe that BTC is positioned to see further weakness due to a few key factors. One such factor is the fact that funding has flipped positive on most exchanges – meaning it is costly to be in a long position.
Additionally, last week’s fleeting movement past $10,000 trapped a massive amount of long positions, and this could provide sellers with significant fuel to catalyze a sharp downside movement in the weeks ahead.
Options traders don’t seem to be too concerned about these factors, however, as data reveals that options open interest on the CME is almost entirely comprised on calls – meaning investors are anticipating upside.
CME Bitcoin Options Traders Flip Long as BTC Consolidates
Bitcoin has been caught within a firm bout of consolidation over the past several days and weeks.
This has caused it to hover right around its current price of $9,700, which is in the middle of its current trading range between $9,400 and $9,900.
Overnight, traders pushed Bitcoin to both the upper and lower boundaries of this trading range, cleansing the market of overleveraged longs.
This volatility, however, did not help BTC establish any type of near-term trend.
One interesting factor to keep in mind is that professional traders, institutions, and leveraged funds trading options on the CME are all positioning for the benchmark cryptocurrency to see further upside.
Su Zhu – the CEO of Three Arrows Capital – spoke about this trend in a recent tweet, saying:
“CME BTC options open interest is nearly entirely in calls (upside moves).”
Image Courtesy of Su Zhu (Data via CME)
These Factors Suggest Options Traders May Have It Wrong
Options traders on the CME may be gravely mistaken about the cryptocurrency’s near-term outlook.
As Bitcoinist reported just one day ago, Bitcoin’s positive funding and the high quantity of underwater long positions are both grim signs for where it goes next.
“I flipped neutral for now. Funding has gone positive everywhere and there are a bunch of BFX longs underwater,” one previously bullish analyst stated.
Image Courtesy of Byzantine General
A triple top formation formed by the three rejections Bitcoin has seen in the mid-$10,000 region over the past several months could also help guide it lower in the near-term.
Featured image from Shutterstock. origin »
Options are derivatives that give the purchaser the right to buy or sell the underlying at a pre-determined price at a later date. Quarterly options settlements are closely watched by traders.
Bitcoin options traders have overwhelmingly re-revised their expectations to $30,000 by the end of March, according to Glassnode data analyzed by CryptoSlate.
The post Research: Buoyant price action has Bitcoin options traders eyeing $30,000 appeared first on CryptoSlate.
The month of June is one looked at with anticipation by many Bitcoin traders. According to many, the impact of Bitcoin's halving is expected to be visible in the market by the end of the month. IntereThe post Bitcoin Options contracts worth $814M await expiry appeared first on AMBCrypto.
The Bitcoin Options market has noted great demand coming from traders for buying call option contracts. This demand was reflected in the Put/Call ratio metric provided by Skew. According to the data pThe post Bitcoin's Put/Call ratio hits 2020-low appeared first on AMBCrypto.
The CME’s Bitcoin futures and options contracts have been seeing booming popularity in recent times This has led the open interest on the platform to rocket, with this growth being driven by an influx of institutional and professional traders to the market 50% of this open interest for both options and futures are set to expire on Friday, however, and this could lead traders to roll over their contracts to future months This could catalyze […]
Bitcoin’s options market is suggesting that there is a growing demand for put positions amongst traders.
The post Bitcoin options skew shows a massive demand for puts; here’s what this means appeared first on CryptoSlate.
Bitcoin's derivatives market is a strong indication of traders' movements in the market. The Bitcoin Options market was reflecting traders' dilemma, at press time, as the Puts and Calls had evened.
Data suggests institutional investors are bullish on BTC as CME Bitcoin options open interest rose to $140 million, but what should retail traders expect?
Bitcoin has seen immense volatility in recent times, and although most of this has favored buyers, the crypto has been unable to firmly surmount the $10,000 region It now appears that large traders are rushing to gain exposure to the cryptocurrency, as open interest for Bitcoin options on the CME has surged 10x this month alone This comes shortly after news of Paul Tudor Jones and other notable investors gaining upside exposure to BTC via […]
Bitcoin Options market has been picking pace like the BTC futures market. As the price of Bitcoin moved up in the market, there has been a growing number of positions on the Options platforms. AccordiThe post Bitcoin Options contracts report ATH as traders hedge against possible risk appeared first on AMBCrypto.
Reality was expected to set in sooner or later. Bitcoin's first big move of 2020, the pump from $7,500 to $9,200 earlier in the week, took the market by storm, and like every storm, it had to pass, alThe post Bitcoin trudging $9,000 as Options traders expect drawdown appeared first on AMBCrypto.
Bitcoin’s intense rally seen throughout the past six weeks has allowed it to erase nearly all the losses that were brought about when it first started declining from highs of $10,500 in late-February This firm uptrend has also allowed it to gain fundamental strength as its market dynamics see a major shift Options data for the crypto is now signaling that traders are positioning themselves to benefit from BTC seeing further upside It has been […]
BTSE, a bitcoin and cryptocurrency exchange company, today announced a new tool that makes the access to OTC trading easier with the BTSE OTC RFQ (Request for Quote). This new tool will allow traders to obtain a quote on a fixed and agreed-upon price before purchase, enabling movement through larger orders without drastic price changes. […]
Bitnomial Exchange, a Chicago-based Bitcoin derivatives platform, recently gained approval from the U. S. Commodities Futures Trading Commission (CFTC) to offer traders physically-delivered bitcoin derivatives contracts and options trading.
The Bitcoin market saw an influx of bullish momentum on 16 April, as the price swung above $7k, once again. The active participation from traders was visible in the derivatives market, which recorded The post Bitcoin Options Put/Call ratio and implied volatility register notable dip appeared first on AMBCrypto.
In brief: Some traders thrive during crypto market volatility and can make profits regardless of the trend. A variety of savings options are available for holders who prefer to play the long game. One method is to save using popular exchanges such as Binance.
In February, when Bitcoin had retaken $10,000, traders were convinced that the cryptocurrency was well on its way to revisit and surmount the $20,000 all-time high established in Dec. 2017. In fact, one prominent crypto trader suggested BTC would do so before July, citing a confluence of technical and fundamental factors.
Options, in the cryptocurrency world, have altered the markets, both in the here-and-now, and going forward.
Bitcoin, teetering at $8,600 for the third day in the row, amid pandemic fears, tearing The post Bitcoin to turn bullish longer than Ethereum, speculate Options traders appeared first on AMBCrypto.
It's no surprise Ethereum traders are high on optimism, but looking at the derivatives market for the altcoin, their heads are certainly in the clouds.
Since the beginning of the year, the price ofThe post Ethereum poised for 200% pump; just ask the options traders appeared first on AMBCrypto.
Zero Stock Retirement Blueprint: Quit Stocks and Make a Fortune? The Zero Stock Retirement Blueprint is a new trading strategy guide by Jeff Clark Trader. It teaches traders how to invest in options to make the most profit possible in any market.
After announcing plans of launching Bitcoin options on futures in September 2019, CME Group has opened its options market for investors and traders. The platform made the announcement on its official The post CME Group launches Bitcoin options on futures appeared first on AMBCrypto.
US banking giant JP Morgan believes bitcoin traders are anxiously waiting for Monday’s CME BTC options debut. Highly Anticipated Bitcoin Options When Bakkt announced its bitcoin futures contracts last year they were widely seen as highly anticipated in the build-up to launch day in September.
TRIBTC Launches BTC P2P Binary Options Beta Platform TRIBTC. com launched the world’s first platform offering peer-to-peer binary options trading for cryptocurrency pairs. The idea of creating this platform appeared because classic binary options platforms, where traders bet against the broker, are prone to fraud and hence banned by regulators in many jurisdictions.
Bitcoin continues to consolidate around the $7,500 level in early Monday trading, as traders and investors await the launch of Bakkt’s Bitcoin options trading offering. The broader cryptocurrency market is trading sideways as the top 10 cryptocurrencies struggled to find a strong directional bias in early-week trading.
BTC futures traders are bundling up for a long bitcoin price winter. Based on a major options market, bitcoin will go lower by June 2020.
The post Intensely Bearish BTC Futures Market Predicts Gloomy 2020 for Bitcoin Price appeared first on CCN.com
Bitcoin futures and options exchange, Deribit has recently partnered with Y Combinator-backed, Mudrex to offer investors of all levels access to trading algorithms created by professional traders reports The Block.
We have plenty of options when it comes to purchasing Bitcoin. On the other hand we have very limited options when we want to get ahold of other cryptocurrencies (altcoins) like LTC , ETH/ETC, Monero, XRP, or any other altcoin.
The recent Bitcoin surge that caused the price to increase by roughly 40 percent in 16 hours has left investors and traders searching for answers as to why this happened. While there might not be a clear answer, possible options include the recent wave of positive news from China, the CME gap, and the performance […]
The post Bitcoin’s Death Cross Fears Are Overblown, According to Analyst appeared first on BeInCrypto.
Cryptocurrency traders using the Netherlands-based Bitcoin futures and options trading platform, Deribit, may soon have to undergo rigorous KYC and AML procedures. The change will come into effect starting early Jan 2020 and are in line with the guidelines prescribed by the fifth EU Anti-Money Laundering Directive (AMLD 5).
CME Group’s global head of equity products, Tim McCourt, believes that Asian traders and miners will welcome their Bitcoin options product with open arms come Q1 2020. As per an interview with South China Morning Post, CME anticipates greater demand for options contracts given the immense benefits of using it as a hedging mechanism, October 10,Read MoreRead More.
Recently, we reported the CME Group is planning the launch the options on bitcoin futures contracts in the first quarter of 2020. The US futures exchange is expecting the upcoming launch of the new crypto derivative product to attract attention from cryptocurrency traders and miners in Asia. Given the fact, about half of the trading […]
The upcoming Bitcoin (BTC) options may be a hit product with miners and traders based in China, the CME Group believes. CME Notes Robust Interest from Asian Traders Tim McCourt, CME Group’s global head of equity products, expects to see the new options contracts surpass the popularity of futures.
The creators of LocalMonero have announced a new privacy-oriented peer-to-peer OTC cryptocurrency trading service. Announced over the Reddit airwaves, the new service, called Agoradesk, will also introduce a new form of crypto trading: options contracts for Bitcoin and Monero.
BitAsset has announced the integration of Dash into its platform, expanding its options for fiat trading in East Asia. The addition of new Dash / USDT and Dash/CNYT pairs will allow traders to trade through Tether-backed currencies, while a pair with the New Taiwan Dollar ensures direct fiat access.
Crypto traders and investors in Thailand woke up to an unpleasant surprise this morning as the Kingdom’s leading digital asset exchange announced that it was closing down. Limited Options For Thai Crypto Traders In an official announcement today, Thai SEC regulated BX crypto exchange stated that it would be discontinuing digital asset trading services at the end of the month.
The likelihood of the bitcoin price surpassing its all-time high of $20,000 by the end of the year is a mere six percent. That’s according to data from Skew which tracks the BTC options market. Bitcoin has found itself consolidating around the crucial inflection point of $10,000.
The cryptocurrency exchange landscape has evolved significantly in 2019. The number, quality and diversity of exchanges has multiplied, giving traders an unprecedented number of venues to choose from.
Most thought that trader Michael Burry was crazy when he started shorting stocks in 2008. But he felt that the market was overheated and the prices would eventually drop. His intuition was right – and it made him $100 million richer.
Stocks, Forex, cryptocurrency, futures&options – An amazing opportunity for the trader community! Date – September 20, 2019 Venue – South Korea, Seoul (Grand Ambassador Seoul) https://korea. tradersfair.
Margin trading is becoming commonplace in the cryptocurrency industry. Several exchanges have recently indicated interest in launching margin trading options for its customers including leading crypto exchange Binance.
Bitcoin price is consolidating above the $95,000 support zone. BTC must settle above the $100,000 level to start a fresh increase in the near term. Bitcoin started a fresh increase from the $94,200 zone.
Bitcoin price started a fresh upward move above $100,000. BTC is facing resistance at $103,000 and might aim for an upside break. Bitcoin started a decent upward move above the $100,000 zone. The price is trading below $103,200 and the 100 hourly Simple moving average.
Bitcoin price settled above the $100,500 resistance zone. BTC is consolidating gains and might aim for a fresh increase above the $105,000 zone. Bitcoin started a downside correction from the $106,800 zone.
Bitcoin price started a short-term downside correction from the $106,250 zone. BTC is consolidating above $100,000 and might aim for a fresh increase. Bitcoin started a downside correction from the $106,250 zone.
