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Quick analysis of the situation
Well, well, well! It seems the cryptocurrency universe is throwing a wild party, and Bitcoin (BTC) is leading the conga line after hitting a staggering all-time high of $84,000 on Monday. If you didn’t snag a ticket to this digital asset fiesta, it’s time to get on board, because the hype train is leaving the station!
This latest surge is perfectly timed, following Donald Trump’s recent victory over Kamala Harris in the US presidential election. It turns out that Bitcoin decided to join in on the celebration, skyrocketing 23% over the past week and adding another 5.5% in just the last 24 hours. Who knew elections could be so good for crypto?
Now, as Bitcoin teases the $100,000 mark, options traders are getting giddy with speculations that it could hit that elusive milestone before the year is out. Bloomberg reports that the call option traders on Deribit are particularly jazzed up about this possibility. A hefty $100,000 call option that ekes its way into expiration on December 27 is turning heads, having increased in value by 30%. Talk about an end-of-year bonus!
Nick Forster, the brain behind Derive, a decentralized finance protocol, remarked, “We’re witnessing some significant movements in the wake of the US election.” If that’s code for “this party is just getting started,” then we’re all in for quite the ride!
To add to the excitement, as of Monday morning in London, a whopping 9,635 Bitcoin, valued at approximately $780 million, is tied to wagers on that $100,000 magic number by late December. That’s not just a hefty bet; it's practically the entire wallet of an influential crypto enthusiast. And guess what? Deribit estimates an 18.6% probability that this trade will pay off. Better odds than your average Monday morning coffee lottery, if you ask me!
But what’s fueling this hot air balloon of optimism? Well, Le Shi, managing director at market-making firm Auros in Hong Kong, has some juicy insights to share. The current market uptrend isn’t just a fluke—it’s heavily influenced by Trump’s campaign promises. Those include making Bitcoin a strategic reserve asset for the good ol’ US of A, giving the SEC chairman the boot on his first day, and developing a regulatory framework that doesn’t feel like a trip through a maze designed by Picasso.
Shi believes that with the favorable winds of institutional interest and an accommodating regulatory backdrop, the stage is set for further price appreciation. So, in terms of Bitcoin's price trajectory, things are looking rather promising, and maybe even exciting!
At the moment of writing this delightful piece of crypto commentary, BTC is trading at $84,122. The question is, will it break the $100,000 barrier before the calendar flips to 2024? Only time will tell, but one thing's for sure: buckle up, because the Bitcoin rollercoaster is just getting started! Let's grab our popcorn and see where this thrilling ride takes us next!
Disclaimer: Our articles are NOT financial advice, and we are not financial advisors. Your investments are your own responsibility. Please do your own research and seek advice from a licensed financial advisor beforehand if needed.
Image(s) are provided by Unsplash and/or other free sources. They are illustrative and may not represent the content truly.
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Please, behave!