Potential BTC Rebound Looms if Price Holds Above $88k Ahead of Trump’s Inauguration
The post Potential BTC Rebound Looms if Price Holds Above $88k Ahead of Trump’s Inauguration appeared on BitcoinEthereumNews.com.
In the lead-up to Donald Trump’s inauguration, Bitcoin (BTC) is witnessing crucial market behaviors that could signal significant price movements. Recent analyses indicate that Bitcoin’s short-term holder market-value-to-realized-value (MVRV) ratio is at a pivotal point, suggesting potential volatility. According to CryptoQuant analyst Axel Adler, “Currently, the STH Realized Price stands at $86.8K, suggesting a bullish trigger if demand persists.” As Bitcoin approaches Trump’s inauguration, a strong rebound or a potential downturn hinges on key market indicators and trader sentiment. Technical Indicators Signal Critical Rebound Potential for Bitcoin The upcoming inauguration of Donald Trump is stirring market dynamics for Bitcoin, which is trading near critical support levels. The short-term holder’s (STH) MVRV ratio has seen a notable retreat to an inflection point, sparking discussions among analysts about imminent price movements. As of now, the STH’s realized price is marked at approximately $86,000. Impact of Trump’s Policies on BTC Valuation Historical patterns suggest that Trump’s presidency could have a substantial impact on Bitcoin prices. If demand holds steady leading up to the inauguration, there’s potential for the STH realized price to rise towards $90,000, which could ignite bullish momentum. The confluence of Trump’s policy announcements and investor sentiment is crucial in determining whether Bitcoin can maintain its momentum past the critical $88,000 level. Source: CryptoQuant Market Sentiment and Options Trading Strategies As anticipation builds, options traders are adjusting their positions, reflecting both bullish and bearish sentiments. Recent trading activity has seen a notable uptick in hedging strategy implementation, particularly through put options, as traders brace for volatility surrounding the inauguration. Analyzing the Impact of Options Market on Bitcoin Prices The latest data on 25-Delta Risk Reversal (25RR) indicates a stronger preference for protective measures against potential declines, with significant hedging activity observed leading up to January 20th. This systemic adjustment is compounded…
Filed under: News - @ January 11, 2025 10:19 am