Market Wrap: Bitcoin Breaks $11,800; Ether Options Market Explodes

Published on by Coindesk | Published on

Bitcoin continues its rebound this week after Sunday's crash.

The ether options market suggests a roller coaster ride ahead for the world's second largest cryptocurrency.

Bitcoin trading around $11,868 as of 20:00 UTC. Gaining 1.8% over the previous 24 hours.

BTC above 10-day and 50-day moving averages, a bullish signal for market technicians.

"If one looks at how the price of bitcoin moved after the second halving in 2016, the path taken so far is highly similar: A sideways period of six to eight weeks post-halving, followed by a run-up and a correction before heading to all-time highs a few months later."

Henrik Kueglberg, a Sweden-based over-the-counter bitcoin trader, says the grim realities of the global economy continue to make the case for investment in cryptocurrencies over the next few months as well.

"Let's get real. Stocks will fall and interest rates will be kept low. I expect another bitcoin all-time high in September and increasing prices all through Q4.".

Ether, the second-largest cryptocurrency by market capitalization, was down Thursday trading around $397 and slipping 0.45% in 24 hours as of 20:00 UTC.The ether options market is on an absolute tear and seeing huge amounts of bets.

"The options market has now caught up with the underlying and is anticipating further moves in the near future as implied volatility is now greater than realized volatility," he added.

When implied volatility is greater than realized volatility, it generally means that the market expects increased price fluctuations are ahead. Other markets.