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Record 63.1K BTC Options Expire on Friday, Has This Triggered Price Panic?

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The market is getting heated this week with 61.3K BTC options set to expire on Friday. This factor suggests something big is brewing with BTC price.

There has been an explosion of BTC options. After a short dip towards the end of January, Bitcoin options have been reaching record levels in February. For most of February, open interest has been reaching $1.5B daily. On Friday 19th, for the first time, Deribit exchanges for the first time confirmed over $1B open interest.

By far, on Monday 22nd, it marked the most saturated day in the Bitcoin futures market by trading $135B. Binance exchange led with this reaching over $44B, Huobi and OKEx generated $36B and $22B respectively. This numbers indicated considerable interest in derivatives and a big sign that a significant price move is on the horizon.

Skew data of Bitcoin options expiring this Friday show that 4,400 have a strike price of $48,000. The second-highest strike price is $40,000 with 3,900 options open. The total Bitcoin options open interest $3B plus notional according to Skew.

BTC Options Investor Advantages

Open interest represents Bitcoin futures not closed by either the buyer or seller. Bitcoin futures have been a preferred way for some investors to get exposure to Bitcoin. Investors can speculate the price movement of the digital asset without having to own the digital asset itself. Some of the benefits of this approach include, investors are not concerned about having a Bitcoin wallet or concerned over its security. Additionally, there is less concern about regulation as the exchanges offering them are regulated by the Commodity Futures Trading Commission (CFTC).

In the past, Bitcoin open options have affected Bitcoin’s actual price. With 63.1K Bitcoin options set to expire on Friday and most investors speculating a drop to $48K, Bitcoin is already bleeding. At the time of press, Bitcoin is trading around $49K as bulls and bears tassel over the $50K pivotal position. Since reaching the current high of $57K, the market paused with the upcoming seemingly triggering a reaction. Depending on what price Bitcoin close the week, the open interest is set to see some investors liquidated.

Though options do not directly affect prices, their influence is undeniable. The week will experience a high level of volatility especially now that the price has dropped to the $50K region. The range now seems set between $48K and $57K with trading volume hugely impacting how fast prices move from a bear to bull trend and vice versa. Analysts have been quick to advise holders not to panic and to sell during the dips as whales will be quick to take their stack.

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Kiguru is a fine writer with a preference for innovation, finance, and the convergence of the two. A firm adherent to the groundbreaking capability of cryptographic forms of money and the blockchain. When not in his office, he is tuned in to Nas, Eminem, and The Beatles.





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S&P 500, Dow Jones Closing Month in Gains as Nasdaq Composite Breaks Trend

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Benjamin Godfrey

The broad performance of the S&P 500 and the Dow Jones was backed by the boosted savings rate which came in at 14.9% last month, as well as the consumer spendings that etched upwards by 0.5% per the estimates.

Major US stock indices S&P 500, and the Dow Jones Industrial Average (INDEXDJX: .DJI) have closed the month of May on a positive note after slight gains to Friday’s trading session. While the former grew 0.077% to 4,204.11, the Dow Jones recorded a growth of 0.19%, adding 64.81 points to close at 34,529.45. The Nasdaq Composite (INDEXNASDAQ: .IXIC) also closed the session up with a 0.091% growth to 13,748.74.

For the month of May, the S&P 500 (INDEXSP: .INX) added 0.6%, a growth boosted by the break-in its two- weeks losing streak, after the past week’s growth of 1.2%. The Dow Jones also ended the week with positive growth, surging 0.9% to close the month positively by adding 1.9%. The Nasdaq Composite came off with different performance, closing 1.5% lower to record its worst performance in seven months.

Unusually, the positive performance of the stock indices was not driven by the FAANG stocks or major tech firms. Facebook Inc (NASDAQ: FB) recorded a 1.21% loss to close Friday’s session at $328.73 per share. Apple Inc (NASDAQ: AAPL) dropped 0.53% to $124.61 while e-commerce giant Amazon.com Inc (NASDAQ: AMZN) slipped by 0.22% to $3,223.07. Netflix Inc (NASDAQ: NFLX), and Google’s parent company Alphabet Inc (NASDAQ: GOOGL) also dropped 0.21% and 0.25% with shares cresting at $502.81, and $2,356.85 respectively.

Amid these poor performances, however, Salesforce.com Inc (NYSE: CRM) led the growth in the Dow Jones, after it reported better than expected first-quarter earnings. The stock grew 5.43% to $238.10.

S&P 500, Dow Jones Growth Boosted by Growing Savings Rate

The broad performance of the S&P 500 and the Dow Jones was backed by the boosted savings rate which came in at 14.9% last month, as well as the consumer spendings that etched upwards by 0.5% per the estimates.

This economic metric appears enough for investors as the overall inflation indicated, the personal consumption expenditures index came in at 3.1% for April, a figure that is higher than the projected 2.9%.

“This report puts the Fed in a really good place, inflation is up, but real yields are still low. This is basically the transitory sweet spot,” said Jamie Cox, managing partner at Harris Financial Group.

Other stocks that received increased retail investor activities include Reddit favorite, GameStop Corp (NYSE: GME) which ended the day with a loss of 12.64% after recording impressive growth in the intraday session. GameStop shared are exchanging hands at $222.70 in the After Hours session.

In all, the US stock market is proving to be recovering gradually from the woes of the COVID-19 pandemic. The vaccination program is yielding fruits as economic activities are returning back to the pre-pandemic levels.

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Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture.



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Farming Season Heats Up With SteakBank on BSC

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Kseniia Klichova

With yield farms in full swing, traders are jumping from one high yielding farm to the next in what looks to be shaping up for a defi summer.

For those who want to “stack multiple juicy yields,” SteakBank is backed by big players like Factorial Ventures, Signum Capital, MW Partners, LayerX Capital, Ruby Capital, etc. and has opened its Genesis Farming Period for staking BNB from April 29 to May 13.

The success of the Genesis Farming Period is just another indicator of the massive inroads BNB is making in its foray into defi. Not only is Binance Smart Chain capturing a large amount of newer entries in the defi market but the crypto OGs are buying into the blockchain.

Less Fees, More Opportunities

With less slippage in gas comes more opportunities to try new things. Users with both small and large capital who dabble in defi tend to be more audacious in trying the hottest new protocols, even if it means aping into the chain synonymous with Binance boss Changpeng Zhao.

SteakBank is promising tantalizing rewards: 50,000,000 SBF tokens are being disbursed. 20% will be airdropped to users staking BNB on the platform and 80% of tokens will be airdropped to those who delegate to add liquidity to the LBNB-BNB pool. As of now, SteakBank will only be functioning on Binance Smart Chain in order to mitigate gas costs but will later expand to other chains.

Introducing SBF

$SBF will be the SteakBank governance token. Users who hold SBF will be able to submit and vote on proposals, burn SBF tokens to accelerate the unstaking process, and increase value through supply depletion. SteakBank is touting an automated dynamic staking strategy that ensures users their highest staking reward without having to constantly check, giving them time to take a breath between processes. Early users are calling it the Lido of BNB, Lido being the platform that allows for easy staking of ETH, essentially the risk-off platform for earning interest on their assets.

Hours after the Genesis Farming Launch there were 26,000+ BNB staked and a total value locked of 22+ million USD.

With over $20 million locked into the genesis staking period at the time of publishing, it’s not a matter of if, but when the yields get too juicy to resist. Consider the main issues with BNB staking pools that currently reside on Binance Smart Chain:

  • Delegating to stake your BNB means it will become locked for 7 days.
  • Traditionally in BNB pools, the validators then have power to change yields every 24 hours.

SteakBank fixes this:

  • The SteakBank protocol automatically directs your BNB to the highest yielding validators.
  • Users can also unstake earlier than 7 day, and net it off with people who stake on the same day. This provides more liquidity for our users. Besides, if users are on the queue, and want to quicken up the process, they can also burn SBF to prioritise their unstaking.

Once we have a certain amount of BNB staked, it is also possible for SteakBank to be another individual validator for BSC. It remains to be seen how Changpeng Zhao will choose to scale Binance Smart Chain if he does decide to relinquish control of some validators and extend the network across many protocols, but we strongly believe in the push for decentralization and embracing of newer and more validators.

Give Way to Greater Yield

The early numbers are eye-boggling for a non-leveraged pool so far with the BNB/LBNB pool validator APR at 27% and trending upwards. This doesn’t include staking LBNB in the BNB/LBNB which will give you an additional allocation of free $SBF, the SteakBank governance token.
Binance Smart Chain is definitely not lacking in new projects, which have been springing up at a rate of knots. The quality has been patchy, however, compared to other EVM-compatible networks including Ethereum itself. SteakBank is upping the ante, and is on course to support a long, hot summer of defi yields on BSC.

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Kseniia is the Chief Content Officer of Coinspeaker, holding this position since 2018. Now she is very passionate about cryptocurrencies and everything connected with it, so she tries to ensure that all the content presented on Coinspeaker reaches the reader in an understandable and attractive way. Kseniia is always open to suggestions and comments, so feel free to contact her for any questions regarding her duties.





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Tether (USDT) Surpasses $50B Market Cap

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After being listed by Coinbase Pro, Tether (USDT) price has experienced sharp growth.

Tether (USDT), the oldest and leading stablecoin in the cryptocurrency market, has surpassed $50 billion market cap. Notably, there has been a significant demand for the dollar-pegged stablecoin, particularly Tether (USDT) as indicated by a sharp increase in daily traded volume.

According to metrics provided by CoinGecko, Tether (USDT) had a daily traded volume of approximately $131 billion. To put the figures into proper perspective, Bitcoin reported a daily traded volume of approximately $59.5 billion, and Ethereum at approximately $36 billion.

Tether (USDT) Market Outlook

There are several factors that have contributed to the success of the stablecoin market particularly the Tether (USDT). Notably, Coinbase Pro announced last week that it would immediately allow “inbound transfers” for USDT in its supported jurisdictions, except for the US state of New York. “Starting immediately, we will begin accepting inbound transfers of USDT to Coinbase Pro. Trading will begin on or after 6 p.m. Pacific Time (PT) Monday April 26, if liquidity conditions are met. Please note that Coinbase only supports ERC-20 USDT,” the company indicated.

After being listed by Coinbase, the only publicly traded crypto company, Tether (USDT) has experienced sharp growth thanks to the bull market. As more retail traders get involved with cryptocurrency trading, the need for stablecoins to take instant profits has increased. Furthermore, they are a form of cryptocurrency as they are backed by blockchain technology. However, Tether is built on the Ethereum blockchain.

Another factor that has contributed to the growth of Tether (USDT) is the fact that Bitfinex and Tether settled with the Office of the New York Attorney General in the landmark case against Tether.

Bitfinex and Tether agreed to pay a fine of $18.5 million to settle damages incurred. However, the ruling noted that Bitfinex and Tether should immediately stop servicing all customers in New York State. “Under the terms of the settlement, we admit no wrongdoing. The settlement amount we have agreed to pay to the Attorney General’s Office should be viewed as a measure of our desire to put this matter behind us and focus on our business. We are pleased that our customers have shown loyalty and commitment to our businesses over the past two years, while this investigation was ongoing,” Tether noted during the ruling.

The stablecoin market has grown astronomically since the onset of the coronavirus pandemic. According to metrics provided by CoinGecko, the entire stablecoin market has a market capitalization of $83,047,307,619. Other notable stablecoins include USDC, BUSD, and DAI that have market capitalization of $13.5 billion, $7.1 billion, and $3.4 billion.

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A financial analyst who sees positive income in both directions of the market (bulls & bears). Bitcoin is my crypto safe haven, free from government conspiracies.
Mythology is my mystery!
“You cannot enslave a mind that knows itself. That values itself. That understands itself.”



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