The post Striking Gold: Inside The Bitcoin Trade That Soared 31x In Just Two Weeks appeared on BitcoinEthereumNews.com.

The recent rise in the price of Bitcoin sent shockwaves across the crypto market. In particular, as with any spike in volatility, the options markets saw the most significant fluctuation due to the rise in volatility. Key data points towards more appreciation. BTC’s price trends to the upside on the daily chart. Source: BTCUSDT on Tradingview The Bitcoin Trade That Saw A 31x Profit, Too Late To Catch the Data from the options platform Deribit explored the current state of the options market. Two weeks ago, the platform suggested buying calls (buy) contracts would yield profits in the coming weeks. The forecast played out with the recent Bitcoin price action; calls with strike prices of around $28,000 saw a 31x return over the past two weeks, mostly driven by the volatility explosion. In the coming weeks, these positions could continue to see further appreciation. Analyst Crypto Researcher stated the following in the Deribit post: The old trader acronym, ‘The Bigger the Base, the Higher the Space’, comes to mind as Bitcoin consolidated between the 20,000 to 30,000 level during the last 18 months, and historically, those breakouts often predicted unbelievable upward momentum. We would advise against fading this rally as Bitcoin could only have started to gather momentum – the pain trade is higher. Bitcoin Open Interest At 2021 High In an exclusive interview with Bitcoinist, Luuk Strijers, Chief Commercial Officer (CCO) for Deribit, spoke about the recent rally. Strijers believes the price action has been dominated by the events around the Bitcoin Spot Exchange Traded Fund (ETF). The CCO at the options trading venue claims that the speculation of the BTC ETFs has supported a shift in sentiment. These events have led to a skew in the options market, favoring the upside. In other words, crypto investors feel more…

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Filed under: News - @ October 25, 2023 12:20 pm