Ethereum Has a 1 in 5 Chance of Hitting $5,000 by the End of June
Lyra traders have purchased ether call options at the strike price of $5,000 and above this week.
The price of ethereum (ETH) has a 20% chance of rising to $5,000 by the end of next month, data from decentralized options exchange Lyra indicates. The price reached a high of $4,692 during the previous bull market.
To reach the new record, ether would have to rise by about a third from the current level of around $3,740. This would follow this week's more than 20% rise driven by sudden optimism that the US Securities and Exchange Commission (SEC) will approve ETH spot exchange-traded funds (ETFs).
“Lyra options markets imply a ~20% chance of ETH reaching $5,000 by June 28,” Nick Forster, Lyra founder and former Wall Street options trader, told CoinDesk in an email. “There is a 20% chance that ETH will surpass $5,500 by July 26, as traders have increased positioning following ETF speculation.”
Lyra is a decentralized settlement protocol for spot, perpetual and options trading. In the last 24 hours, the protocol recorded a crypto options trading volume of $1.33 million, representing more than 50% of the global decentralized finance (DeFi) options total of $2.08 million, according to data source DeFiLlama. Lyra traders correctly predicted BTC's Q1 rally and April peak near $70,000.
This week, Lyra-based traders have purchased ether call options expiring in June and July with strike prices above $5,000, revealing a bullish outlook.
