Think Bitcoin will hit $100K? These traders will take that bet
Bitcoin derivatives trading is on the rise; one platform is letting traders bet on a $100,000 BTC moonshot by Sept 2021.
As of Thursday, Deribit users can bet on the flagship cryptocurrency reaching $100,000 via options contracts that expire on Sept. 24, 2021. The lofty strike price was established following a surge in daily trade volumes.
In options trading, a strike price is the value that a derivative contract can be bought or sold when it’s exercised.
Deribit processed 754,123 BTC options contracts in November, according to marketing material that appeared on Twitter Thursday.
The exchange is currently listed as the tenth-largest crypto derivatives exchange on CoinMarketCap, or CMC. Volumes reported by CMC may not reflect actual market turnover due to methodological issues with how the data are collected and reported.
Crypto data analytics provider Skew reported Thursday that Deribit is the largest derivatives market for Bitcoin trades. The firm also said that daily options trading in BTC surpassed $1 billion for the first time.
Deribit tells Bitcoin.com:
“We have seen a total turnover of USD 3.5 billion today (rolling 24 hrs) […] We have seen a total turnover of USD 1.4 billion today (rolling 24 hrs).:
Bitcoin’s coveted six-figure moonshot is considered a foregone conclusion by its most ardent supporters. What some have found shocking as of late is that many of the most bullish forecasts are coming from outside the BTC community.
Citibank has seemingly predicted a $318,000 BTC price next year, while Guggenheim has called for a $400,000 valuation. Meanwhile, JPMorgan says Bitcoin could soon receive a $600 billion catalyst, which would catapult prices sharply higher.
Cryptocurrency derivatives platform Deribit is letting traders bet on a $100,000 Bitcoin (BTC) price — and within a certain period, no less.
Bitcoin’s roller coaster year looks to end on a positive note as the digital currency vies for new all-time highs. The price came within striking distance of $24,000 on Thursday before pulling back modestly. Bitcoin is currently trading below $22,700, having gained 220% year-to-date at time of publication.
