Search Results for: Amberdata

Amidst a stable market, Bitcoin’s potential shift above $26,500 could stimulate interest in altcoins like TON, XLM, XMR, and MKR. However, a potential decline could present drawbacks for altcoin investments. Meanwhile, negative market conditions could allow long-term investors to build strong portfolios.

Despite the uncertain regulatory environment and sluggish cryptocurrency markets, nearly 50% of American and European asset managers surveyed by Coalition Greenwich and Amberdata are active in digital assets. The survey reveals optimism in the industry’s future, with 40% expecting 11% annual growth and 25% of firms having a distinct digital assets strategy. Potential opportunities are seen in ETFs, tokenized securities, and centralized exchanges.

The recent increase of out-of-the-money call and put options associated with Bitcoin signals heightened vigilance among traders, anticipating what’s known as “tail risk”. This situation arises from concerns that Bitcoin’s value, already stagnating around $26,000, could abruptly shift due to an extreme event. Market data reflects this potential instability, despite outward price stability, tying into broader macroeconomic uncertainties.

“Ether’s market indicators suggest potential price drop, with traders hedging against price downturns in near-term timeframes. This contrasts with Bitcoin’s long-term bullishness among traders. While Bitcoin is believed to benefit from positive macroeconomic shifts, Ether’s better performance can be attributed to ETH futures-based exchange-traded funds and hedging activities.”

The shorting of Bitcoin seems to be decreasing, with the destructive influence of the past three months starting to wane. However, the exit from Bitcoin-related funds and intense regulatory scrutiny have created notable market challenges. Yet, analysts highlight potential imminent volatility, suggesting an eruption in the Bitcoin marketplace may be near.

“Bitcoin volatility metrics are at record lows, anticipating a possible return to normalcy. While some market participants anticipate sudden price turbulence, others are planning strategies that bet against price volatility. Yet, shorting volatility or selling options can result in significant losses if the market abruptly shifts.”

“Despite recent volatility and speculative downturn in cryptocurrency, the options market remains optimistic, with a palpable, positive call-put skew signaling a persistently bullish sentiment. Significant trading action indicates market expectations for Bitcoin values to breach the $31,000 barrier, potentially revitalizing the rally.”

Ether (ETH) options contracts worth $2.3 billion are set to expire this Friday on the crypto derivatives exchange Deribit. The event may cause significant market shifts, with overwriting trends impacting ether’s volatility and price. While it implies stability for ether, potential shifts in volatility will determine the direction of ether and bitcoin markets.

The recent crypto market rally remains strong despite lawsuits against major exchanges Coinbase and Binance. Upcoming expiration of a large number of Bitcoin and Ethereum options suggests potential volatility. Investors should remain vigilant, understanding the risks and conducting thorough market research.

The crypto market experiences a revival as bitcoin surges over 15% last week. With approximately 150,633 bitcoin options contracts worth $4.57 billion and 1.23 million ether contracts valued at $2.3 billion set to expire on Deribit exchange, market makers face significant negative gamma exposure, potentially leading to an exaggerated price rally or drop.

The U.S. risks its first-ever debt default, potentially impacting global markets and cryptocurrencies, including Bitcoin and Ethereum. Cryptocurrency markets face uncertainty, and the larger question is whether lawmakers can find a permanent solution to ease financial market tensions.

As the US faces a debt ceiling crisis, Bitcoin options market displays a six-month bias towards weakness, with the call-put skew at its lowest since March. Investors now show a preference for put options, aligning with recent trends in the S&P 500 market. The uncertainty surrounding debt ceiling negotiations impacts bond markets, and Bitcoin’s price fell by 10%, as the US dollar’s appeal as a safe haven grows.

A single entity recently purchased over 57,000 contracts of ether’s June expiry call option at a $2,200 strike price, selling an equal number of September expiry call contracts. This trade, involving large transactions outside the open market, represents a short call calendar spread strategy designed to profit from significant price shifts away from the strike price. The investor likely expects ether prices or volatility to rise after the June expiry.

The recent downtrend in Deribit’s ether volatility index (ETH DVOL) has crypto enthusiasts’ attention amid macroeconomic uncertainties and increasing Ethereum network demand. As major cryptocurrency price swing expectations appear underpriced, staying informed and prepared for potential market changes is crucial for investors and traders.

Bitcoin’s price saw minimal change after the U.S. central bank’s interest rate hike, currently trading around $28,460. Despite high inflationary pressures, Fed Chair Jerome Powell did not signal further rate hikes. Crypto investors await clarity on inflation and the impact of recent bank failures and regulatory feuding on markets, influencing BTC and ETH’s range-bound behavior.

Bitcoin and Ether experienced a 2.6% and 2.5% increase respectively amidst banking unrest and falling shares of regional banks. With weaker labor data and potential inflationary pressure, cryptocurrency markets offer attractive growth outlooks and investment opportunities as uncertainties loom in traditional banking sectors.