This Development Could Reduce Bitcoin to $ 11K

0

As of Friday, the effects of the delivery date of 62 thousand option contracts on the Bitcoin front are being wondered by both investors and those who follow the crypto money market. According to experts, this may increase the market volatility of Bitcoin.

The delivery dates of Bitcoin options and futures contracts are dollars in the last week of each month and are of great importance for the Bitcoin price during these periods. The delivery date of approximately 62 thousand Bitcoin option contracts expires on Friday, August 28. It is a known fact that expiration of BTC futures and options contracts has an inevitable effect on Bitcoin value, and the direction of this effect is widely observed against BTC.

May Increase Bitcoin’s Volatility

The expiry of the delivery date of as many as 62,000 options contracts could be a harbinger of market volatility for Bitcoin. According to Crypterium, the expected fluctuation between the beginning of the week and Friday may end with the decrease of the Bitcoin price to $ 11,000. But after the deadline for the options contract worth around $ 7 billion this Friday, BTC could take a sharp leap forward. So, although the delivery deadlines of 62,000 options contracts will cause a fluctuation and decline until Friday, BTC is expected to enter a recovery process next week.

In addition, the Fed’s annual Jackson Hole conference will be held this Thursday. Most analysts and market experts predict that the Bitcoin chart will rise with the Fed’s decision to raise inflation. In other words, although the deadlines of the record number of options contracts create volatility for BTC, after both the Fed’s announcement and Friday, Bitcoin may exhibit a new bullish rally.

See Also  Bitcoin SegWit Adoption Reaches 66% of All BTC Transactions

LEAVE A REPLY

Please enter your comment!
Please enter your name here