In Bitcoin, which has gained 37 percent since the beginning of the year, a new buying raid may be encountered due to the contracts to be renewed in futures markets next week. So much so that a 2 percent increase for Bitcoin will be enough to raise the price of the largest cryptocurrency to $ 10,000.
Bitcoin, which declined to the level of $ 9,100 in the first days of the week, rose close to 8 percent with the incoming purchase pressure and rose to the level of $ 9,800. At the time of this news preparation , an additional 2 percent rise for the largest crypto currency traded at $ 9,844 will be enough to carry it above $ 10,000.
Aggressive skew for next Fri 14feb (Valentine's day) expiry, the options mkt is expecting big moves up the next 7days https://t.co/iK1IOBfoeG
— Su Zhu (@zhusu) February 7, 2020
The reason that makes Valentine’s Day, February 14, important for Bitcoin is that Bitcoin options transactions on Deribit exchange, Deribit, will end on that day. An increase in premiums that can occur with the renewal of options can be reflected directly in Bitcoin’s spot prices. In the experts of Three Arrows Capital, Su Zhu shared a chart and pointed out the situation in question.
Rob Sluymer, one of Fundstrat Global Advisors analysts, expects the largest cryptocurrency to reach the $ 10,000-12,000 range next week. On the other hand, famous cryptocurrency analyst Alex Krüger is one who thinks that the price of Bitcoin will decrease.
This boxplot shows what happens with bitcoin's price when Bitmex funding reaches levels as extreme as today's.
Bitmex funding can be used as a proxy for traders positioning.
Mean return after 5 days has been -7%.
— Alex Krüger (@krugermacro) February 7, 2020
Krüger shared a chart based on data from BitMex futures markets and invited Bitcoin investors to be cautious. Currently, BitMEX futures contracts are experiencing a premium increase of 0.12 percent every 8 hours on average. Krüger points out that there has been a correction in Bitcoin prices historically after the increase in premiums. Krüger warns investors about a 7 percent correction in price.