Hedge Funds Eyeing Bitcoin Opportunities
In recent days, the cryptocurrency markets have witnessed significant fluctuations, causing some alarm among individual investors. However, major players like US hedge funds and institutional investors view this as an opportunity. According to Bloomberg, the dip in Bitcoin's price has been seen as a chance to buy by these seasoned investors.
Who Are the Buyers?
Yevgeniy Feldman, co-founder of SwapGlobal, a private brokerage firm, has highlighted that blue-chip investors are particularly interested in purchasing at reduced prices. When Bitcoin prices dropped by 17% earlier this week, these investors began to make strategic moves.
What Are Call Spreads?
Feldman noted that options trading, specifically call spreads, became a popular strategy. This involves buying and selling options to benefit from future price rises. Investors used this strategy on both Solana and Bitcoin, indicating confidence in future price increases.
Understanding Bid-to-Offer Ratio
The term bid-to-offer ratio refers to the demand versus supply for an asset. On platforms like Coinbase, the demand to buy Bitcoin significantly surpassed the willingness to sell, particularly at prices below $49,000. This suggests a **
