The popular cryptocurrency analyst points out a metric that suggests a negative outlook for Bitcoin (BTC) in the coming weeks. Here are the details…
This expectation of investors is very worrying
Popular cryptocurrency analyst InvestAnswers, in a new strategy session, gave 439,000 YouTube subscribers based on Bitcoin (BTC) options data, 29 He said that for contracts expiring in July, the bearish bets outweigh the bullish bets. Based on data from crypto options exchange Deribit, InvestAnswers says that the sales volume of Bitcoin, which expects it to drop to $25,000 and below, has reached $165 million, while the call that expects BTC to reach $30,000 by the end of July is $63 million. The analyst continued:
Short-term outlook for July, here you can see some calls. About $33 million over $40,000, which is a small increase, but there are very negative bets. There’s $29 million for $15,000 Bitcoin, $60 million for $20,000 Bitcoin, and $76 million for $25,000 Bitcoin. And of course, $30 million in insurance where we are right now. So this is extremely negative. It is very, very worrying that traders are waiting for another wick or another double bottom.
Crypto analyst also says that options data shows a more optimistic outlook for Bitcoin in the long run. According to the crypto analyst, call volumes bet on Bitcoin to reach $70,000 and above by December reached $243 million, while call volumes pending Bitcoin at $30,000 and below stand at $95 million. The analyst continued to explain his views as follows:
As of December 2022, you can see big bets here. We have $64 million for $100,000 Bitcoin by December, $101 million for $80,000 Bitcoin by December, and $78 million Deribit for $78K Bitcoin. And a few transactions, $30,000 Bitcoin – $34 million, slightly higher than where we are now, and $61 million for $25,000 Bitcoin. Remember, too, that people make these bets by purchasing insurance to protect their wallets as well. However, there is not much selling activity compared to bullish activity on the far right.
Bitcoin could present a bumpy chart in the coming weeks
InvestAnswers, after providing more clarity on Federal Reserve monetary policy, between now and late July He says that Bitcoin is likely to fluctuate before recovering, adding:
You can see a fluctuating chart in the coming period, let’s say eight to 12 weeks. As we end August, get some clarity from the Fed, because you know the Fed is putting pressure on us right now
Bitcoin price has been in the last year, as we’ve reported on Cryptokoin.com. recorded a decrease of about 22.6 percent. The leading cryptocurrency has experienced most of this decrease in the last month. Looking at the graphs, it is seen that the BTC price has decreased by about 26.9 percent in the last month
