Close Menu
Invest Insider News
    Facebook X (Twitter) Instagram
    Monday, July 7
    Facebook X (Twitter) Instagram Pinterest Vimeo
    Invest Insider News
    • Home
    • Bitcoin
    • Commodities
    • Finance
    • Investing
    • Property
    • Stock Market
    • Utilities
    Invest Insider News
    Home»Bitcoin»US Election Fuels Bitcoin Volatility as Options Traders Eye $80,000 Target
    Bitcoin

    US Election Fuels Bitcoin Volatility as Options Traders Eye $80,000 Target

    October 29, 20243 Mins Read


    Bitcoin traders are bracing for increased volatility as the U.S. election nears on Nov. 5, with estimates for price swings as high as 20%, according to data from DeFi derivatives platform Derive.

    “The latest trading analysis reveals some compelling insights into market dynamics as we approach significant financial events,” Derive founder Nick Forster told Decrypt on Monday.

    The data shows a high concentration of bets around an $80,000 Bitcoin strike price and a strong presence of short-term call sales, as traders use option premiums to prepare for possible price movements.

    Bitcoin briefly broke above $70,000 on Monday, hitting a level last seen in early June, according to CoinGecko. The asset is up more than 5% on the day to $71,200.

    “The overwhelming dominance of calls being sold suggests a strategic premium collection by traders, while the focus around the $80,000 strike highlights a potential pivotal point for Bitcoin,” Forster said.

    In the last 24 hours, over 47% of options sold were calls, or bets on a price increase, with traders seeking to capitalize on “juiced premiums” due to election-related volatility, Forster explained.

    Volatility patterns across different expiration dates show traders are preparing for a bumpy ride ahead of next weeks but remain unsure about which direction prices might take.

    Americans will head to the polls to vote in the tightly contested U.S. presidential election between Vice President Kamala Harris and former President Donald Trump. Trump has, so far, promised more precise policy targeting crypto.

    Short-term volatility, reflecting expected price movements, is now outpacing long-term volatility, with a noticeable spike expected around election week, Forster added.

    That indicates traders are betting the U.S. election could trigger immediate effects on Bitcoin’s price, potentially causing sharp swings as events unfold.

    The trend is underscored by a rise in volatility for options set to expire within seven days, signaling heightened sensitivity to upcoming economic and political news.

    “There’s a one in three chance that BTC could see a swing greater than 10% on election day, with a more volatile scenario of 20% movement sitting at a 5% likelihood, Forster said. “These figures indicate the potential for substantial price action tied to election results.”

    Forster also mentioned that traders are paying more for options, signaling protective moves, or “hedging,” as the election approaches. This added cost, known as the volatility risk premium, shows traders anticipate larger price shifts and are willing to pay to manage their risk.

    Daily Debrief Newsletter

    Start every day with the top news stories right now, plus original features, a podcast, videos and more.



    Source link

    Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
    Previous ArticleNC Utilities Commission approves modified Bald Head Island Ferry schedule
    Next Article 30% price surge in gold since last Dhanteras. Here’s your 6-point shopping guide

    Related Posts

    Bitcoin

    Tableau de la semaine: Wall Street a revendiqué Bitcoin – maintenant quoi?

    July 6, 2025
    Bitcoin

    Le «Mempool» de Bitcoin est presque vide à mesure que les prix se négocient à proximité des sommets à vie

    July 6, 2025
    Bitcoin

    Mot final sur la baleine qui déménage 8 milliards de dollars en Bitcoin: voici la raison possible de la transaction

    July 6, 2025
    Leave A Reply Cancel Reply

    Top Posts

    How is the UK Commercial Property Market Performing?

    December 31, 2000

    How much are they in different states across the US?

    December 31, 2000

    A Guide To Becoming A Property Developer

    December 31, 2000
    Stay In Touch
    • Facebook
    • YouTube
    • TikTok
    • WhatsApp
    • Twitter
    • Instagram
    Latest Reviews
    Bitcoin

    La déclaration d’enregistrement de Trump Media & Technology concernant l’accord de trésorerie Bitcoin de Trump Media entre en vigueur

    June 13, 2025
    Stock Market

    Trump’s Tariffs Aren’t The Only Problem For The Stock Market

    March 30, 2025
    Bitcoin

    Trump Media se rapproche du lancement d’un fonds négocié en bourse lié au bitcoin

    June 4, 2025
    What's Hot

    South32 Rides High Commodity Prices, Streamlines Portfolio

    July 21, 2024

    Top 2 Utilities Stocks That Should Keep You Up At Night In Q3 – WEC Energy Group (NYSE:WEC), Consolidated Edison (NYSE:ED)

    August 6, 2024

    United Utilities warns public after reservoir levels drop

    May 9, 2025
    Most Popular

    Council to revisit Willmar Municipal Utilities land purchase on Monday, April 7

    April 5, 2025

    Ahmed Toufiq : pourquoi au Maroc parle-t-on de «finance participative» et non pas de «finance islamique»

    July 4, 2025

    Wall Street Closures For July 3 And 4| Investor’s Business Daily

    August 26, 2024
    Editor's Picks

    Crypto liquidations cross $150 mln: How Bitcoin’s slip under $60K played a part

    August 13, 2024

    The Commodities Feed: Trade talks give oil prices a lift | articles

    June 9, 2025

    Decoding Essential Utilities Inc (WTRG): A Strategic SWOT Insigh

    August 9, 2024
    Facebook X (Twitter) Instagram Pinterest Vimeo
    • Get In Touch
    • Privacy Policy
    • Terms and Conditions
    © 2025 Invest Insider News

    Type above and press Enter to search. Press Esc to cancel.