Bitcoin Call Options. In a thorough report, QCP Capital recently summarized the present status and institutional opinion surrounding Bitcoin’s (BTC) price. Bitcoin has demonstrated incredible endurance in the face of heavy selling pressure from the German government and a large settlement from Mt. Gox creditors. This has led to increased interest among institutions in purchasing high-value call options. The $100,000 strike price by year’s end greatly interests institutions.
QCP Capital Analysis On BTC Price
Despite various supply pressures, the Bitcoin market has shown strong performance. German officials recently dumped roughly 50,000 Bitcoins (BTC) valued at $2.88 billion onto the market. The transfer of about $6 billion in Bitcoin to more than 13,000 creditors as part of the Mt. Gox reimbursement procedure also contributed to the excess supply.
The Bitcoin price has been rather stable, moving between $61,000 and $71,000, despite these large increases in supply. Bitcoin has a lot of institutional interest, especially in the $100,000 call options that expire in December, says QCP Capital. This enthusiasm from institutional investors suggests they are very bullish on the possibility of a year-end rally.
The call options wager on beating the $100,000 price barrier by December, which is a sign of hope for a big price breakthrough. The forthcoming US elections are adding gasoline to this confidence. The current shifts in the political climate have market investors speculating about further volatility and possible price spikes.
Bitcoin has found its usual trading range in light of the present market structure, which includes perpetual financing rates that have reverted to neutral and volatility trending downward. According to QCP Capital, traders are heavily long the $67,000 strike options that expire on July 26. As a result, traders are getting ready for Bitcoin’s price to rise again, possibly reaching $67,000.
Strategic Trade Ideas By QCP
With a loss of 1.24% on Friday, July 19, the Bitcoin price was $64,170.20 as of writing. Notwithstanding the downturn, the cryptocurrency has demonstrated remarkable resistance to volatility caused by political shifts and other reasons. In addition, after falling as low as $57,000, Bitcoin has recovered and gained more than 12% in the past week.
According to QCP Capital, the best short-term strategy before the expected breakout is a Principal Protected Range Accrual (PPRA). During the observation, if Bitcoin trades between $61,000 and $71,000, you will receive a 27% yearly coupon in USD using this approach. With weekly coupons beginning on July 26, the PPRA will mature on October 11, 2024.
Investors and traders should always do their research before putting any methods into action. At the same time, Binance CEO Richard Teng shared his thoughts on the state of the market. He said markets move in cycles, and investors should watch the big picture.
The fact that the most recent Bitcoin Halving event was just three months ago was also brought out by Teng. In the coming months, the Halving could play a significant role, as it has a history of occurring before significant jumps in the price of Bitcoin.
He mentioned previous Bitcoin halving events that resulted in substantial gains for BTC the following year: 7,043% in 2013, 289% in 2017, and 559% in 2021. Therefore, he anticipates a comparable jump whenever the cryptocurrency market recovers from the summer slump. Another goal put out by Bitcoin maximalists like Robert Kiyosaki is a price of $100,000 per BTC by the year 2024.
