Bullish sentiment is rising, with November BTC options concentrated at $80,000

Written by: BitpushNews

 

On Tuesday, gold continued its upward trend, while the U.S. stock and cryptocurrency markets consolidated. According to Bitpush data, Bitcoin bulls are still facing resistance between $68,000 and $70,000. At the time of writing, Bitcoin was trading at $67,672, with a 24-hour volatility of less than 1%. Over the past 24 hours, altcoins showed weak momentum, with most of the top 200 tokens declining. The biggest gainers were Popcat (POPCAT), up 9.8%; Ponke (PONKE), up 9.4%; and Uniswap (UNI), up 4.7%. The largest decliner was ApeCoin (APE), down 17.4%; followed by Scroll (SCR), down 13.3%; and dYdX (DYDX), down 10%. The overall cryptocurrency market cap is $2.33 trillion, with Bitcoin's market share at 57.3%. In the U.S. stock market, the S&P 500 and Dow Jones indices closed nearly flat, while the Nasdaq index rose by 0.18%. Spot gold reached a new high of over $2,748 per ounce during intraday trading.

 

November Bitcoin Options OI Concentrated at $80,000; $100,000 is Just a Matter of Time

 

According to data from the cryptocurrency exchange Deribit, the open interest (OI) for call options expiring at the end of November is concentrated around $80,000. Although many analysts link BTC's trend to the increased probability of a Trump victory, FalconX research director David Lawant stated in an interview with Bloomberg that Bitcoin "may perform well regardless of the election outcome." LMAX Group market strategist Joel Kruger noted in a report, "It feels inevitable that Bitcoin's price will break through its historical high, and we are getting closer to setting a new high. The market has performed very well in recent days, which aligns with seasonal trend analysis predicting a strong October." He added, "The next major obstacle is $70,000, which aligns with the high from July 2024 and is close to the historical peak of $73,835 set in March. So far, options and strike prices have struggled to maintain market caps. However, it seems the pressure to break through the $70,000 resistance level is increasing, which, based on our technical analysis, could lay the groundwork for a breakthrough to historical highs."

 

Regarding Bitcoin prices before the election, Ledn Chief Investment Officer John Glover pointed out, "The current support level is at $65,000. I believe that in the days leading up to the election, BTC will test the previous high of $73,000." Analysts generally agree that the upcoming U.S. election is a major factor affecting the current cryptocurrency market, but according to TradingView analyst TradingShot, Bitcoin's four-year cycle is soon to become the primary driver of the cryptocurrency market. In an update on Tuesday, he stated, "It has been some time since we used Mayer Multiple Bands (MMB) to analyze Bitcoin, but now is the best time to release the latest dynamics, with only two weeks to go until the U.S. presidential election, and the market is about to experience a bullish breakout. This time, we are observing the price trading conditions for this date every four years." TradingShot explained, "BTC's trading cycle is roughly four years, maintaining a high degree of symmetry, and each trend is likely to repeat. Currently, nearing the end of October (2024), the price is trading within the average MM (black trend line) and the first SD (gray trend line) above it. It has started to rise from the average MM."

 

He noted, "According to the four-year cycle theory, the trends from October 2020, October 2016, and October 2012 are within a highly similar range, with a significant degree of symmetry, which this indicator again confirms. We can also see that every four years around this time, the price has begun to rise from the average MM, just like now. The green rectangles in the above chart show the date range between this four-year interval and the peak of the bull market cycle. In October 2012, it took 58 weeks (406 days) to reach a peak, in October 2016 it was 60 weeks (420 days), and in October 2020 it was 55 weeks (385 days). Therefore, from a timing perspective, cycles often peak around the same period."

 

TradingShot believes, "If we again assume the 'worst case' only 'touches' the 2 SD trend line, we can set the target range at $190,000 – $250,000, depending on whether the price reaches this range in the middle or closer to the end of the 55-week interval. Nevertheless, Bitcoin seems to be starting an exciting rebound."

 

This article is sourced from Foresightnews:

https://foresightnews.pro/article/detail/70123

Sincerely, AIC Team

October 28, 2024