Traditional financial products can also have an impact on the market price of bitcoin, particularly derivative products that represent contracts that track the underlying price of BTC. As we’ve already discussed, leveraged futures trading can often fuel steep price changes, but so can other products such as crypto options. In short, crypto options give investors the right, but not the obligation, to buy or sell the underlying asset (in this case, bitcoin) at a certain price (known as the strike price) prior to, or on, a certain date.
Related posts
-
Australian Securities Exchange (ASX) Gives its First Approval of a Spot Bitcoin Listing to VanEck
Unlike in the U.S., in Australia, firms require the approval of the regulator, the Australian Securities... -
Metrics Signal Bitcoin Price Increase
Bitcoin has been on a bumpy ride in recent days. The world’s most popular cryptocurrency has... -
Bitcoin Technical Analysis: BTC Endures Persistent Downward Trend Amid High Volatility
As of June 17, 2024, Bitcoin is trading at $65,805, with a 24-hour intraday range between...