Traders bet on the growth of the BTC rate to $ 75,000 by May 28

Institutional traders are betting on Bitcoin (BTC) rising to $75,000 and above, CoinDesk writes, citing dataoptions market.

“On Monday, the OTC market saw transactions in accordance with a bullish call spread strategy with strikes of $ 75,000 and $ 100,000 and expiration on May 28,– reports the analytical platform Laevitas.These could be institutions betting on Bitcoin to rise to at least $75,000 by summer.”

The bullish call spread strategy isbuying and selling call options with one expiration date. At the same time, the contracts being sold must have a higher execution price. So, on Monday, the trader bought 100 call contracts with expiration on May 28 and a strike of $ 75,000, and sold - 100 of the same contracts with a strike of $ 100,000. Bitcoin at that time was trading at around $ 48,721.

The cost of the operation for the trader was 4.75BTC, which will become his marginal loss if bitcoin trades below $ 75,000 on May 28. The costs would be significantly higher if he only bought contracts.

"The purpose of the call spread is to take a bullish position while cutting costs.", - explained in Laevitas.

Although the spread helped reduce losses, it alsolimits ROI to 20.25 BTC. The trader will receive the maximum profit if the contracts are settled around $ 100,000 or more. Several other call spreads were opened on Monday with strikes ranging from $ 52,000 to $ 100,000.

The data indicates that institutions were not intimidated by the recent drop in the price of bitcoin. At the same time, LMAX Digital strategist Joel Krueger argues that the rollback may not be over yet.

“We believe that the biggest risk right now isBitcoin in the short term is associated with a decline in the US and global stock markets. There is still room for weakness, so you should be careful with assumptions about the formation of a low. ", - he said.

Where is it more profitable to buy bitcoin? TOP-5 exchanges

For a safe and convenient purchase of cryptocurrencies with a minimum commission, we have prepared a rating of the most reliable and popular cryptocurrency exchanges that support deposits and withdrawals of funds inrubles, hryvnias, dollars and euros.

The reliability of the site is primarily determined by the trading volume and the number of users. By all key metrics, the largest cryptocurrency exchange in the world is Binance, includingbitcoin options are available on the site. Binance is also the most popular crypto exchange in Russia and the CIS, since it has the largest cash turnover and supports transfers in rubles from bank cardsVisa / MasterCardand payment systemsQIWI, Advcash, Payeer.

Especially for beginners, we have prepared a detailed guide: How to buy bitcoin on a crypto exchange for rubles?

Rating of cryptocurrency exchanges:

#	Exchange:	Website:	Rating:
1	Binance (Editor's Choice)	https://binance.com	9.7
2	Bybit	https://bybit.com	7.5
3	OKEx	https://okex.com	7.1
4	Exmo	https://exmo.me	6.9
5	Huobi	https://huobi.com	6.5

The criteria by which the rating is set in our rating of crypto-exchanges:

• Work reliability— stability of access to all functions of the platform, including uninterrupted trading, deposits and withdrawals of funds, as well as the duration of the market and daily trading volume.
• Commissions– the amount of commission for trading operations within the platform and withdrawal of assets.
• Feedback and support– we analyze user reviews and the quality of technical support.
• Convenience of the interface– we evaluate the functionality and intuitiveness of the interface, possible errors and failures when working with the exchange.
• Platform Features– availability of additional features — futures, options, staking, etc.
• final grade– the average number of points for all indicators determines the place in the ranking.

</p>

Rate this publication