Alternatives wield outsized impact on Bitcoin’s volatility Andjela Radmilac · 23 hours ago · 2 minutes checked out
December’s options/futures open interest ratio spike demonstrates how traders’ hedging worsens Bitcoin’s cost volatility.
2 minutes checked out
Upgraded: Dec. 10, 2024 at 11:06 pm UTC
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As Bitcoin skyrocketed past $103,000, the hidden forces in the alternatives market started to unfold a gripping story. While lots of enjoyed the cost charts, a much deeper story was playing out in the options/futures open interest ratio– a predictor of the marketplace’s pulse. A moderate ratio recommended that hedgers were affecting Bitcoin’s gravity-defying run. When Bitcoin’s climb failed, this balance moved and the effects rippled through the market. What mystical aspect added to Bitcoin’s significant dance with volatility? Explore these discoveries for the response.
