Historically, Bitcoin is growing strongly in April, but what is the probability of a repeat of the scenario and what do the main macro indicators say? Let's figure it out.
Stock images: StormGain cryptocurrency exchange
On average, over the past three years, the increase in April was 40%, which brings us to the mark of $73,360 of the current value of Bitcoin. Seems incredible? But Bitcoin options traders do not think so. Currently, the leading contract on derivatives exchanges is a call option with an expiration date of April 30 and an amount of $80,000, with a total interest of 4,469 positions worth $240 million.
Image source: coindesk.com
A call option gives the right, but does not oblige, to buy the underlying asset at a specified price before its expiration date. The premium for a contract of $80,000 is now a relatively small 0.016 BTC. However, the concentration of interest at this level indicates that traders expect a significant increase in Bitcoin in the next month.
A more serious argument in favor of growth is the continued withdrawal of cryptocurrency to cold wallets. On March 25, there was the largest outflow this year: over 1,365 PTS, and the monthly net change in supply on cryptocurrency exchanges reached the lowest value in the last three years. The shortage of supply and withdrawal of Bitcoin for storage is a reflection of the Fed's monetary policy and the US government's ongoing economic stimulus. A new $1.9 trillion anti-trump package was approved this month, and the Biden team is already working on the next one, which reaches $3 trillion. Inflation expectations of the US dollar exceeded the 2% mark and continue to grow. This leads more and more institutional investors to store funds in Bitcoin, which increases the chances of another April surge in prices.
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I do believe in Bitcoin growth. HODL! ₿📈
many believe and want the same thing🚀
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