US Inflation at 2-Year Low, Core CPI and Bitcoin Rise Expected
Inflation in the United States has hit its lowest level in nearly two years, according to an analysis provided by Blofin. However, a rise in the core CPI is expected to put further pressure on the Federal Reserve in May, potentially leading to an interest rate rise. This news has led to market uncertainty, with investors already factoring in the likelihood of further rate increases. However, Bitcoin seems stable at the moment with significant chances of a prolonged bullish move.
Traders Anticipate Positive BTC Gains
Despite this uncertainty, participants in the crypto market continue to have expectations that prices will remain stable at their current levels. BTC is currently trading at $30,000, while Ether has dropped by 1% to $1,892. However, the number of ethers per Bitcoin has hit a new all-time low, potentially leading to increased selling pressure for ETH as it continues to rise.
Investors do not anticipate a trending market in the foreseeable future. However, there is optimism about the future gains of BTC. Traders are anticipating a positive gamma strike of $34,000 after the price broke through the $30,000 threshold. On the other hand, ETH may face more resistance as it continues to rise.
The sale of enormous amounts of call options and short vol by option dealers in the Bitcoin and Ethereum markets reflects a combative nature in the crypto market. Despite this, traders expect that prices will eventually settle at their current levels, as the GEX is still negative at some strike prices.
Bitcoin Traders Anticipate Positive Gamma Strike while ETH Faces Resistance
One source of confidence for option sellers is the performance of the interest rate market, with the next gathering set to take place in May. The cryptocurrency market is expected to enter a brief period of minimal uncertainty. It could be beneficial for sellers of volume.
Trending Now: Bitcoin Cash (BCH) Price Prediction 2023-2030
Despite the relative stability of the cryptocurrency market, rising inflation and the potential for interest rate increases could lead to market uncertainty in the coming months. BTC is currently trading at $30,000, with traders anticipating a positive gamma strike of $34,000 after the price broke through the $30,000 threshold. On the other hand, ETH may face more resistance as it continues to rise, with the number of ethers per Bitcoin hitting a new all-time low.
Investors do not anticipate a trending market in the foreseeable future but they have already factored in the likelihood of further rate increases, leading to decreased market uncertainty. Overall, the crypto market is in a relatively stable state. The prices are expected to remain stable at their current levels, at least for the time being.
