Bitcoin Rushes to Record After ETF Options

CoinDesk 20 Index: 2,981.79 +0.61%

Bitcoin (BTC): $93,634.61 +2.04%

Ether (ETH): $3,090.71 -1.65%

S&P 500: 5,916.98 +0.40%

Gold: $2,628.53 -0.15%

Nikkei 225: 38,352.34 -0.16%

Bitcoin (BTC) set its sights on new records during US trading hours. Options tied to BlackRock’s bitcoin exchange-traded fund IBIT gained nearly $2 billion in notional exposure upon launch. Some analysts described the recorded metrics as “an unprecedented achievement”. Bloomberg Intelligence analyst James Seyffart said the following about the developments: “Options gained $1.9 billion of notional risk traded through 354 thousand contracts in their first day. 289 thousand of these were recorded as call options and 65 thousand as put options. That’s a ratio of 4.4:1.” Drawing attention to the rise that Bitcoin witnessed late last night, Seyffart said, “It is certain that options will play a big role in Bitcoin reaching new highs.”

MicroStrategy (MSTR), which defines itself as a Bitcoin (BTC) development company, entered the list of top 100 publicly traded companies and ranked 97th. The company, which saw a 12% price increase from $400 per share, jumped 29 places after its performance on Tuesday and is now trading at $430. The impressive performance coincided with bitcoin rising to an all-time high above $94,000. MicroStrategy, which gained around 500% in value during the period when Bitcoin increased by over 100%, became one of the highlights of 2024. The most impressive part of the statistics is that MicroStrategy, which adopted bitcoin as a treasury asset as late as August 2020, outperformed NVIDIA (NVDA) over the five-year period. MicroStrategy was up 2,739% while NVIDIA was up 2,688%.

The trading volume of XRP and dogecoin (DOGE) on South Korean crypto exchanges has surpassed the trading volume of bitcoin. Some market participants also think that the rise in the prices of these two tokens may be related to South Korean traders. CoinGecko data shows that XRP and DOGE accounted for a cumulative 30 percent of trading volumes on Upbit, the country’s largest exchange, and approximately 20 percent of trading volumes on Bithumb in the last 24 hours. However, some of this volume can be attributed to wash trading performed by automated programs to give the illusion of an actively traded market.

The chart showing the 10-year US bond yield is perhaps the most important chart in financial markets. It can break above the downtrend line or turn lower, forming a head-and-shoulders top. Unless the second scenario is accompanied by a potential black swan event, it would bode well for risk assets.Source: TradingView