Bitcoin’s Calm Feels Dangerous—All Eyes On Vegas And June Reversal
Bitcoin is currently trading between $107,000 and $111,000, with significant tension in the options market. QCP Capital notes that despite a calm price movement, institutional inflows into spot-BTC ETFs are stabilizing prices. Traders are purchasing one- and two-week downside protection ahead of the Bitcoin Conference in Las Vegas, which is expected to be a volatility catalyst. Historical volatility from last year's conference influences current market sentiment, although a repeat is deemed unlikely. Perpetual futures open interest has decreased, indicating a defensive market stance, while retail traders are reducing risk. Despite this, US spot-Bitcoin products saw substantial inflows, providing some support. Analysts express differing views on future price movements, with some predicting upward trends until mid-June. Current market calm is causing unease among traders, as future volatility may hinge on upcoming events or policy announcements. Bitcoin's price at press time is $110,661.
