Published on oktober 16, 2024, 12:37 am
Image source: Fox News
```json [ { "TLDR": "Analysts suggest limited Ether call options purchased could restrict price growth. Traders cautious towards ETH despite positive Bitcoin sentiment. More ETH calls sold than bought may indicate a ceiling on price increases. Ethereum's open interest skewed with more calls sold, pointing to restricted upside potential. Monitoring Bitcoin and Ethereum divergence crucial as U.S. election nears. Current Ether value at $2,615 with 7% increase since Oct. 7. Approximately one-third of all Ether staked by traders, signaling sustained long-term interest." } ] ```
ETH options analysts have indicated that the limited number of Ether calls purchased could potentially restrict the altcoin’s price growth in the coming days. Despite a positive sentiment shift towards Bitcoin (BTC), recent data from a decentralized finance (DeFi) options platform suggests that traders are displaying caution towards Ether (ETH).
Founder of Derive, Nick Forster, highlighted that ETH has seen almost 2.5 times more calls sold compared to calls bought. This disparity implies that traders might perceive a ceiling on Ethereum’s upward potential. Data from Derive revealed that by the end of September, Ether Calls Sold stood at 34.5%, while Calls Bought were at 15.5%.
Forster emphasized that the relatively low number of calls purchased further reinforces the idea that ETH may face limitations in significant price increases in the short term. In contrast, there is notable Bitcoin Open Interest (OI) at strike prices of $75,000 and $100,000, suggesting traders are preparing for substantial movements.
Interestingly, Forster underscored that Ethereum’s open interest demonstrates a skew with significantly more calls sold than bought – an indication that traders currently view the upside for ETH as restricted.
Looking ahead, Forster pointed out that monitoring the divergence between Bitcoin and Ethereum will be crucial as the U.S. presidential election approaches on Nov. 5.
At present, Ether is valued at $2,615 as per TradingView data, reflecting a 7% increase since Oct. 7.
Additionally, recent reports indicate enduring confidence among Ethereum traders as approximately one-third of all Ether has been staked by token holders – signaling sustained long-term interest in the digital asset and its associated rewards.
It’s important to note that this article does not offer investment advice or recommendations. All investment decisions involve risks, and readers are advised to conduct their own research before making any financial moves concerning cryptocurrencies or investments in general.
Original article posted by Fox News
