Cryptocurrency investors are waiting nervously in the middle of a week full of macro data. Because the first monthly options on Bitcoin and Ethereum expire following the listing of spot Bitcoin ETFs. This means ‘Is a new sales wave coming?’ It brings to mind the question.
Decision day is approaching for the leading cryptocurrency
Bitcoin and Ethereum prices, leading cryptocurrency market indicators, will witness volatility on Friday as global investors prepare for the first monthly expiry following the approval and listing of spot Bitcoin ETFs. cryptokoin.comAs you follow from, BTC price and transaction volumes took a hit after spot Bitcoin ETFs. In this process, BTC price fell below the psychological level of $ 40,000 and fell to $ 38,521. The cryptocurrency fear and greed index dropped from 80 (extreme greed) on January 11 to 49 (neutral) today. Thus, it indicated rapid changes in sensitivity.
Specifically, 93,588 BTC options with a face value of $3.7 billion will expire on January 26. Currently, the put-call ratio is 0.52. The maximum pain point is $41,000. This shows that traders are under selling pressure. BTC price is currently trading below its maximum pain price at $40,059. Therefore, it seems logical for traders to expect a large volatility.
Total BTC futures open position increased by 0.41% in the last 24 hours and increased by 0.60% in 4 hours. BTC open interest fell 2% to $4.59 billion on CME. However, it rose 1% to $4.11 on Binance. Additionally, total BTC option open interest stands at $15 billion.
The maximum pain point for the leading altcoin is $2,300
Additionally, 929,432 ETH options with a face value of $2 billion will expire with a put-call ratio of 0.31. The maximum pain point is $2,300, which is higher than the current price of $2,220. Traders are expecting a recovery above the maximum pain point. However, the scenario may fail due to a sudden price change and other pressures.
Meanwhile, total ETH futures open interest is $7.78 billion. Additionally, it fell 0.56% in the last 24 hours and rose 0.28% in the last 4 hours. There is a significant increase in the three largest ETH futures exchanges, Binance, Bybit and OKX.
Cryptocurrency investors are following data for Fed interest rate decision
Popular analyst Michael van de Poppe predicts that volatility will decrease from here as BTC enters the final stages of this correction. The range-low is still $36-39k and the upward momentum towards Bitcoin halving is starting soon. However, analysts warn that if BTC falls below $38,130, there will be a major liquidation.
The next few days are very important for cryptocurrency and stock markets. Because on January 31, the US Federal Reserve will announce its interest rate decision. Nowadays, there is a lot of macro data that will affect this decision. US GDP growth in the 4th quarter fell to 2%, the lowest growth in the last six quarters. Thus, it remained well below the 4.9% growth rate in the 3rd quarter. Therefore, the Fed’s tightening campaign dealt a blow to the economy. However, the tight labor market provided sufficient support to consumer spending.
To be informed about the latest developments, follow us twitter‘in, Facebookin and InstagramFollow on and Telegram And YouTube Join our channel!