According to Odaily Planet Daily, citing The Block, an analyst said that Bitcoin options traders are increasingly focusing on call options with an exercise price of more than $80,000 that expire in November. The market expects two important events to take place next month: the U.S. presidential election on November 5 local time and the U.S. Federal Open Market Committee (FOMC) interest rate decision on November 8.
André Dragosch, head of European research at Bitwise, said: "The largest amount of open interest in Bitcoin options is currently in options expiring on November 8, the day of the FOMC meeting and a few days after the US election, with a clear bias towards calls. This supports the hypothesis that Bitcoin options traders are generally positioning for a bullish outcome." The Federal Reserve is widely expected to announce a 25 basis point cut in the federal funds rate at its November 8 meeting, with the probability of a rate cut currently at 90.2%. A rate cut is likely to increase risk appetite in the broader market, and traders appear to be positioning themselves accordingly in cryptocurrencies.