Bitcoin options expire this Friday and it seems to be a key day for the price of Bitcoin, at least in the short term. So far there are 114,700 options contracts. However, most of the expiring Bitcoin options are bullish bets on the price increase in the crypt currency.
Tomorrow $1 billion in Bitcoin options expire
This Friday, June 26, $1 billion in Bitcoin options will expire on the major futures exchanges. In this sense, everything indicates that it will be a key day for the price of Bitcoin.
From this event, it is expected that price volatility will be generated. Since the imminent expiration of Bitcoin options, it brings together 70% of the positions in the derivatives markets.
The previous large liquidations caused it to „bounce back quite aggressively,“ so some experts agree. In addition, open interest in the digital currency – total positions – amounts to 1.3 billion, twice what it represented just a couple of months ago.
Back at this Friday’s event, most of the expiring Bitcoin options are bullish bets on price increases.
However, experts warn that the situation may affect the crypto-currency market, as global stocks have fallen due to the resurgence of coronavirus infections in Europe, the United States and China, weighing on investor confidence.
Bitcoin Alert: $1 Billion in Options to Expire on Friday
OKEx CEO confident that Bitcoin price could go up
On March 27, U.S. President Donald Trump signed a historic $2.2 billion stimulus bill.
According to Bloomberg, the Trump administration anticipates another billion dollar stimulus next month. In this regard, OKEx CEO Jay Hao believes that the second stimulus check will continue to drive Bitcoin price growth.
Also, taking the example of Grayscale’s total investment in Bitcoin in 2020, Hao noted that the company’s accumulation directly translated into BTC’s rapid institutional adoption rate.