In terms of sentiment, the derivatives data shows that professional traders are still neutral on Bitcoin (BTC) price expectations before the $750 million option expiration on Friday. We transfer data as Cryptokoin.com …
Tomorrow is critical: Will Bitcoin bulls profit?
According to the data seen below regarding the derivatives markets, if the Bitcoin price trades below $42,000 by January 14, the bears, i.e. those who have taken a position that BTC will fall, will make a net profit of $75 million in BTC options. it will. If the price of Bitcoin stays below $44,000 at 11:00 CET on January 14, only $44 million of these call options will be available at expiration. If BTC trades below this price, the right to buy Bitcoin at $44,000 is worth nothing.
According to experts, there are four possible scenarios for the $750 million option expiring on January 14. If BTC stays between $40,000 and $43,000, it will be $75 million in favor of bear options. In the $43,000 to $44,000 range, call and put options will stabilize. Those who support bull options in the $44,000 to $46,000 range will make a total profit of $50,000 million. Finally, if the $46,000 to $47,000 range is seen, supporters of bull options will profit by $125 million.
The only way for the bulls to make any significant gains on January 14 is to keep Bitcoin price above $46,000. However, if the current short-term negative sentiment prevails, the bears could push the price down 4 percent from the current $43,800 and profit up to $75 million if Bitcoin price stays below $42,000.