Bitcoin's Upside May Be Capped
Some analysts believe that Bitcoin's upside is capped due to options data and market maker activity suppressing rallies, despite a long-term bullish outlook.
Following a tumultuous event last week, Bitcoin has entered calmer waters, with its price currently trading at around $113,500, down 1.5% over the past 24 hours, according to CoinGecko data.
Heightened bearish activity during the sell-off has led to an increase in put options expiring on October 31, as noted by Hendrik Ghys, founder of Thalex Global, in a tweet.
Implied volatility has repriced downward to the low 40s in the short term and around 45% for longer horizons.
The long-term outlook for Bitcoin remains bullish, despite current market conditions.
Author's summary: Bitcoin's upside may be capped due to market conditions.