Bitcoin bears risk getting trapped if BTC price remains above $50K — Here's why

Bitcoin bears risk getting trapped if BTC price remains above $50K — Here's why


Bitcoin’s (BTC) 32% weekly rally became bears’ worst nightmare as Friday’s $860million options expiry is approaching. After breaking the $54,000 level, over 99% of the bearish bets using put (sell) options are likely to become worthless.

Bears are in a dangerous position, particularly as Bloomberg’s Crypto Outlook pointed out that Bitcoin’s $50,000 resistance was about to flip support. Senior commodity strategist Mike McGlone cited such factors as increasing adoption along with a diminishing supply on exchanges.

Bloomberg also noted that traditional finance investors’ concerns surged after the protection against the possibility of a United States government default rose to its highest level in six years. Moreover, one-year credit-default swaps, or the cost to insure against a payment delay, have risen to 27 basis points from 4 basis

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