Bitcoin's Explosive Rise: $30K Touchdown & $3.2B Options Expiry!
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Bitcoin's Explosive Rise: $30K Touchdown & $3.2B Options Expiry!

written by John Murphy | April 27, 2023

According to recent news, on 26 April, the price of Bitcoin broke above $29,800. In the last 24 hours, it rose 9.6% and reached $30,024 on Bitmap. On 25 April, the fall in First Republic Bank (FRB) shares was a stimulant for the rally of Bitcoin, according to some commentators.

Why bulls are far from optimistic? In 12 months, its price remains 22.5% low despite of positive shift.

Key Takeaways:

  • Bitcoin rose above $30,000 with a 9.6% profit in 24 hours due to positive market sentiment and the fall of First Republic Bank shares.
  • Bitcoin bulls could make a profit of up to $780 million on April 28, but the regulatory environment in the US is a concern.
  • The Federal Reserve’s potential interest rate hike of over 5% could negatively impact the economy and Bitcoin.
  • The call-to-put ratio for April’s $3.2 billion monthly options expiry favors the bull side between $28,000 and $31,000.
  • Forced liquidations resulted in a low price of $166 million, strengthening Bitcoin’s support at $28,000 while bears could reduce their losses by lowering the price by 6.5%.

Mr Legend Crypto announced on Twitter that on the 28 April expiry date, A weaker financial system of the U.S. increased the bitcoin bull’s profit to $780 million.

After the earnings report of the bank, the failure of FRB appears. This report shows that the consumers returned their money during the quarter, so clients’ deposits decreased by 40.8%.

Notably, in March, the cash injection in the bank was $30 billion, while the quarterly discharge was more than $100 billion.

On the other hand, the Federal Reserve of the U.S. warns that it will raise the interest rate by over 5%.

The central bank is successful in taming inflation by raising capital costs. This rising cost has unintended consequences involving a weaker economy and a bearish market structure like Bitcoin. announced on Twitter that bitcoin reached $30k, as the bitcoin bulls are well positioned for a $3.2B weekly expiry option.

Some analysts restrain the $31,000 resistance rejection of the harsh cryptocurrency regulatory environment, mainly in the U.S. It is evident from the court action that Coinbase filed to force the SEC for the clarification of industry rules.

Between 26 March and 26 April, Bitcoin gains 27%. Bulls need this to succeed in April’s $3.2 billion monthly options expiry. The 1.19 call-to-put considers the imbalance between the buy ($ 1.7-billion call) and sell ($1.5 billion) options.

However, on 28 April, Bitcoin’s price remained at $29,500, and only the sell option worth $ 54 million was available.

The Coin Detective announced on Twitter that on 26 April, the price of Bitcoin broke over $29,800, gaining a 9.6% profit in 24 hours.

On 28 April, the contract options available for call (bull) and put (bear) instruments differs based on expiry price. The imbalance on each side accounts for profit.

  • Between $27,000 and $ 28,000, the result of 14,300 calls versus 8,700 favors the bull by $150 million.
  • Between $28,000 and $29,000, the bull raises its advantage to $ 445 million for 19,000 calls versus 3,200 puts.
  • Between $29,000 to $31000, bulls increase the advantage to $575 million for 21,700 calls vs. 1,900 puts.
  • Between $30,000 and $31,000, By $ 780 million, favors the bull for 26,500 calls versus 600 puts.

If Bitcoin fails to crack the $30,000 resistance, it will assure $575 million in profits. Meanwhile, bears, to reduce their losses to $150 million, need to lower 6.5% of the price. 

However, recently leveraged bets saw a low price of $ 166 million in forced liquidations. Most likely, those profits strengthen the support of $ 28,0000 with the above bitcoin price of $29,000. The expected results concern the bears.