At the time of writing this article, Bitcoin is trading at $29,277 and seems to be stuck in this range. Although periods of shallow volatility can be frustrating, we know that they don’t last long. Depending on important developments in the coming days, BTC may break out of its narrow range. So, what do market experts predict?
Crypto Market Expert Opinion
QCP analysts shared their predictions about the markets early this morning. BTC and ETH continue to remain indifferent to macro headlines or market movements. Correlations with traditional macro factors such as USD and stocks have almost diminished. The market has been trading softly and sideways since the volatility surrounding the XRP decision earlier this month. NFT, DeFi contraction and consolidation in the industry continue as well.
The analysts also wrote the following;
“However, the market expects an increase in volatility towards the end of the year with the Blackrock spot ETF decision and the Bitcoin Halving, as well as a potentially large price increase in BTC next year. We see this from the very steep volatility curve (June 2024 volumes almost twice the volumes of August 2023 with a 24.5 vol difference!) and a persistent skewness in calls (BTC calls almost 3 vol higher than puts). Despite this sideways market, an accumulator has been a significantly performing strategy or product class, particularly for investors looking to build a long crypto position for the next bull run.”
A small note about volume. CME ETH and BTC options have reached almost all-time highs.
Expert Recommendation
In summary, an accumulator is a zero-cost strategy that allows professional and/or accredited investors (not individual investors) to buy BTC or ETH at a 10% discount from the spot price (at the time of the transaction) as long as the spot price trades within a predetermined range. If the spot price trades above >10% of the spot price, no purchase is made and collateral is returned. If the spot price trades below >10% of the spot price, additional coins are purchased at a 10% discount from the spot price.
“In a range market with a long-term upward trend like this, accumulators are perfect for systematically buying discounted coins before a big move without capturing bad levels in the intraday market. For example, a transaction made at 26.6k and 1.750 spot refs allowed the investor to continue buying coins at 24k and 1.570 weekly as long as BTC and ETH traded below 30k and 1920. We believe that the conditions for making such a transaction are even better than last month.”
