On Friday, $13.6 billion in Bitcoin options expire, will the bulls push BTC to $100K?
Could the expiration of this week's $13.6 billion Bitcoin options trigger a price rally of BTC to $100,000 and beyond?
Market Analysis
Bitcoin BTC €91,882 is preparing for its largest monthly options expiration of 2024, with a total exposure of $13.6 billion.
Less than 2% of BTC put options target $100,000 or more.
This event offers bulls a crucial opportunity to push the price of Bitcoin above $100,000, making it essential to assess the impact of the call and put options expiring on November 29.
The S&P 500 has struggled to maintain levels above 6,000 for the past three weeks, indicating growing caution among investors. This change in sentiment is reflected in the yield of the 5-year U.S. Treasury, which has dropped from 4.35% on November 15 to the current 4.12%.
Investors are increasingly prioritizing the relative safety of public debt, even with lower yields.
S&P 500 futures (blue) against the yield of the 5-year U.S. Treasury (magenta). Source: TradingView/Cointelegraph
Periods of macroeconomic uncertainty, often driven by fears of an economic slowdown, tend to trigger a "flight to quality," leading investors to abandon higher-risk assets.
However, the 5% rally from Bitcoin's low of $90,775 on November 26 suggests confidence remains strong despite the 34% gains in the last 30 days.
In a research note dated November 27, economists at Pantheon Macroeconomics stated that U.S. Personal Consumption Expenditures (PCE) inflation could rise above 3% if elected President Donald Trump implements import tariffs, according to Yahoo Finance.