Bitcoin traders are eagerly awaiting a surge in price volatility that could be triggered by the upcoming U.S. presidential election, according to experts. Greg Magadini, director of derivatives at Amberdata, predicts that the election could lead to a price swing of $6,000 to $8,000 for Bitcoin. This projection is based on options trading data which suggests a potential fluctuation of $4,000 in either direction.
The tight presidential race between Donald Trump and Kamala Harris has created a sense of uncertainty in the market, with traders preparing for potential price movements. Despite the 50-50 odds of the election outcome, options traders have been positioning themselves for bullish volatility by purchasing call options at various strike prices.
In addition to Bitcoin, Ethereum (ETH) is also expected to experience significant volatility around the time of the election. Onchain options listed on decentralized exchanges indicate a higher probability of price swings for ETH compared to BTC. DEX traders are also anticipating bullish volatility for Ethereum, with a greater number of call options open compared to put options.
As the election draws near, traders are closely monitoring these developments and adjusting their strategies accordingly. The heightened uncertainty in the crypto markets has led to increased interest in onchain options trading, with traders seeking to hedge against or capitalize on expected volatility.
Overall, the upcoming U.S. election is expected to have a significant impact on the prices of Bitcoin and other cryptocurrencies. Traders are bracing themselves for potential price swings and positioning themselves accordingly to take advantage of the market movements. The outcome of the election remains uncertain, but one thing is clear – the crypto market is in for an interesting ride in the coming days.