Will Bitcoin Reach New Highs This Month? This is what options traders think

The Bitcoin (BTC) options market is seeing a surge in positions betting on the digital currency reaching new highs this month. According to market data.

underlines Digital asset hedge fund QCP, in a market update released Wednesday, noted "strong demand for June call options contracts, suggesting the expectation of a decisive breakout above the level of $74,000 and a new high this month.

Options contracts These are financial derivatives that give buyers the right to buy or sell an asset at a certain price before or on a predetermined contract expiration date.

“Options flow was clearly bullish today with significant volumes in long-term Bitcoin call options contracts in late June and, to a lesser extent, late July,” noted the institutional commodity trading network Paradigm derivatives in a message on Telegram.

Joshua Lim, co-founder of derivatives trading firm Arbelos Markets, noted "massive buying of put options contracts" on Tuesday with about 1,100 put contracts purchased on June 28 at prices including between $74,000 and $80,000. This represents an order of approximately $80 million.

keep on going Bitcoin BTC Price Nearly three months in a sideways trading range. Since hitting an all-time high of $73,800 in mid-March.

After briefly falling below $57,000 in early May, it saw a steady recovery. It is now trading at around $71,000. Just a few percentage points away from new highs.

Cryptocurrency investment services company Matrixport said in... Published On Wednesday, Bitcoin “looks poised to move higher.” Supported by large inflows into US Bitcoin spot ETFs and an increase in open contracts in the futures market.

Matrixport noted that a break above the $72,000 level could put pressure on short sellers. There are $1.5 billion in leveraged futures contracts that bet on falling prices, concentrated around this range, that could be liquidated. Which leads to an acceleration of upward movement.

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