Bitcoin at $300,000 Options Contract Added on Deribit for EOY

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Bitcoin at $300,000 Options Contract Added on Deribit for EOY

Forget 100k, $150k, or even $200k; the market now wants to bet on $300,000 per BTC by the end of this year.

On Friday, cryptocurrency derivatives platform Deribit announced the addition of the latest Bitcoin options contracts at a $300k strike price with an expiry of December 2021.

This new addition came right on the heels of ETH options contracts with a strike price of $10,000 by the end of this year.

Last month, the platform announced that its traders could also bet on Bitcoin at $100k, $140k, and $160k and ETH at $5k.

Bitcoin reached a new peak at nearly $42,000 on Friday to reach a market cap of about $780 billion. ETH has also surged to $1,290 to achieve an all-time high market cap of just over $152 billion.

Recording $2.54 billion in trading volume in Bitcoin futures, Deribit has about $920 million in open interest. In the Bitcoin futures market, CME leads with $2.30 billion in OI, followed by Binance at $2.08 billion OI and $25.80 billion in volume.

In the light of ongoing money printing going all over the world, more and more institutions turn to Bitcoin as a hedge against dollar weakness and resign inflation risks.

“The more that people perceive that their assets, particularly their liquid assets such as fiat currencies are eroding in value, the more they will look for alternatives,” said Geoffrey Morphy, president of Canadian crypto mining company Bitfarms Ltd.

Besides strengthening its position as a store of value (SoV), the world’s largest digital asset is seeing “more usage” as a payment rail by recording more in total transaction volume, as seen in 2020, than that of Venmo, PayPal, or Apple Pay, Anthony Pompliano, co-founder of crypto hedge fund Morgan Creek Digital told CNBC’s “Street Signs Europe.”

“Bitcoin is transitioning from what used to be a contrarian idea or a contrarian trade to a consensus trade. I think that’s where you’re getting this re-pricing of the asset and the rapid price appreciation, as more and more folks on Wall Street come into the asset and want exposure.”

Anthony Pompliano

Published at Sat, 09 Jan 2021 14:42:28 +0000 Bitcoin at $300,000 Options Contract Added on Deribit for EOY

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