Traders Anticipate Bitcoin Surge with $3.2 Million Option Trade
- A trader executed a $3.2 million bitcoin butterfly option, betting on a price rise to $95,000 by the end of October.
- Current momentum suggests little resistance for bitcoin between $85,000 and $98,000.
- Demand for call options has increased, driving short-term risk reversals higher.
- Options market data shows expected volatility with one-standard-deviation swings of up to 8.9% for XRP and around 5% for bitcoin.
The bullish positioning in the options market indicates growing confidence among traders regarding potential price movements in major cryptocurrencies, particularly bitcoin. The lack of previous consolidation levels between $85,000 and $98,000 may facilitate upward movement.
With a significant option trade anticipating a rise to $95,000, traders are increasingly focused on the volatility surrounding bitcoin and other major tokens.(Source)
