Bitcoin's Upside May Be Capped
Some analysts believe Bitcoin's upside is capped due to options data and market maker activity suppressing rallies, despite a long-term bullish outlook.
Following a tumultuous event last week, Bitcoin has entered calmer waters, with its price currently trading at around $113,500, down 1.5% over the past 24 hours, according to CoinGecko data.
Heightened bearish activity has led to a significant uptick in put options expiring on October 31, according to Hendrik Ghys, founder of Thalex Global.
Implied volatility has repriced downward to the low 40s in the short term and around 45% for longer horizons, Ghys noted.
Author's summary: Bitcoin's price growth may be limited.
- Current price: $113,500
- 24-hour change: -1.5%
- Implied volatility: low 40s (short term), around 45% (long term)