In a strong recovery, Bitcoin (BTC) and the broader cryptocurrency market are up 4%, almost completely erasing last week’s losses. At press time, the price of Bitcoin (BTC) is up 4.59% and is currently trading at $26,920, adding $21 billion to its market cap over the past 24 hours.
On Tuesday, June 6th, the broader cryptocurrency market experienced a sharp correction following the SEC lawsuit against Binance. A day later, the SEC targeted another major crypto trading giant, Coinbase, in a similar lawsuit, accusing the exchange of violating securities laws.
However, it appears that investors have chosen to look beyond regulatory developments for now. BTC and ETH have erased the negative impact of yesterday’s SEC complaints and witnessed a V-shaped recovery in the market. At press time, ETH is up 3.64% and is currently trading at $1,878. The latest report from Greeks.live reveals:
βThe V-Reverse market led to a significant increase in option volume, with daily volume increasing over 400% while short-term IV increased slightly. Of particular interest were the 290,000 ETH block calls traded yesterday, accounting for 57% of the daily volume, with a notional value of $540 million, made up mostly of nearly 100,000 sets of calendar spreads, with the strike price of this whale bid in the Compared to was lower last month”.
Courtesy: Greeks.live
Following the Giant Whale’s view on the current market, Greeks.live notes that it will be difficult to break back above $2,000 and this V-shaped recovery doesn’t change the fact that bearish sentiment is overwhelming.
Bitcoin shorters liquidated, buy-the-dip sentiment rises
On-chain data from Binance shows that short positions have been liquidated amid the strong market rally. It said: “Merchants had many #liquidated #shorts today after showing a certain excessive willingness to bet against the markets. Biggest shorts in 3 months acted as rocket fuel $BTC bounced back above $27,000. We saw a similar price increase when traders went short on March 10.β
Courtesy: Santiment
Santiment also reported that buy-the-dip sentiment increased in the market as crypto prices plummeted earlier this week.
π As the #buythedip interest of the crowd increased as #crypto prices plummeted yesterday, prices started to rise shortly after the crowd gave up. Avoiding the mainstream hype is a typical strategy that controversial traders can take advantage of. https://t.co/GBNy8U3aW3 pic.twitter.com/El2RfI6N7u
β Santiment (@santimentfeed) June 6, 2023
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Bhushan is a FinTech enthusiast and has a keen sense of understanding the financial markets. His interest in economics and finance drew his attention to the emerging markets for blockchain technology and cryptocurrencies. He is constantly in a learning process and motivates himself by passing on the knowledge he has acquired. In his free time, he reads thriller novels and sometimes explores his cooking skills.
The content presented may contain the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or publication assumes no responsibility for your personal financial loss.
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