Bitcoin traders prepare for the Fed, the option expires because the BTC price stays at $47,000

Bitcoin (Bitcoin) Hovered around $47,000 on Friday because traders did not seize the opportunity on the day of the Jackson Hole Summit of the US Federal Reserve.

BTC/USD 1-hour candlestick chart (Bitstamp). Source: TradingView

The end of the month cold war for Bitcoin traders

Data from Cointelegraph Markets Pro with Transaction view It shows that BTC/USD fluctuated around 47,000 USD on Friday.

Bitcoin has hardly risen or fallen in the past 24 hours, as market participants are waiting for clues from the Fed and month-end options expiration events. This time it is worth some US$2 billion.

“The reaction is not very strong at the moment,” trader and analyst Rekt Capital Comment Price movements overnight.

“However, the daily closing price above the high of $47,000 will be a strong positive sign.”

In this case, the higher closing price failed to materialize, and after Bitcoin fell below that level earlier this week, there is still $50,000 unchallenged.

Cointelegraph writer Michaël van de Poppe also insisted on his Previous forecast, These involve a BTC support area of ​​approximately 44,000 USD.

“This idea about Bitcoin is still my main vision,” he Tweet.

Option expiration often creates more fear than true selling pressure, and BTC price movements often Shrug The event itself. The total open interest on Friday was US$9.19 billion, a three-month high.

BTC option holdings chart. source: byte

Buzzword: “Tainized”

As Cointelegraph Report, The Fed’s virtual Jackson Hole event is expected to reveal future economic policy changes related to the coronavirus pandemic.

related: Analysts said they “expected” a fall in Bitcoin prices and a profit-taking of $50,000

Asset purchases may shrink. This mechanism is called gradual shrinking. As the S&P 500 trades at historical highs, this may change the sentiment of traditional assets.

Any hints about inflation policy may also help boost demand for alternative assets. The dollar rose on the eve of the Fed’s debut, which has traditionally been a friction point for Bitcoin.

The dollar currency index (DXY) 1-day candlestick chart. Source: TradingView