Crypto News- Bitcoin (BTC) aimed to solidify its position above the $40,000 mark during Thursday’s European trading session, while the dollar index remained steady ahead of the eagerly awaited U.S. fourth-quarter gross domestic product (GDP) data.
As of 09:38 UTC, the leading cryptocurrency, with a market value, was at $40,100, having experienced demand around $38,500 earlier this week. The dollar index, reflecting the value of the U.S. dollar against major fiat currencies, hovered around 103.70, slightly down from the peak of 103.82 reached on Monday.
Bitcoin Holds Firm Above 40K Dollars with 5.8B Dollars Crypto Options Expiry in Focus
Traders were reconsidering the possibility of early Federal Reserve rate cuts amidst the ongoing inflationary challenges. According to Fed funds futures, there is now a 50% chance of a Fed rate cut in March, down from 80% a month ago.
Market Dynamics and Anticipation: Bitcoin Holds Strong Above 40K Dollars Amidst Dollar Stability and Pre-GDP Analysis
Market adjustments are anticipated later in the day following the release of U.S. GDP data at 13:30 UTC. Projections suggest the GDP of the world’s largest economy will show a 2% seasonally adjusted annualized pace in the final quarter of 2023, down from 4.9% in Q3, marking the lowest reading since Q2 2022, as reported by CNBC.
Attention is also focused on the impending expiry of bitcoin options valued at $3.75 billion and ether options worth $2.07 billion on Deribit, the largest crypto options exchange globally, representing over 85% of global activity.
Luuk Strijers, Chief Commercial Officer at Deribit, noted, “As we approach tomorrow’s options expiry, it’s clear the market is steadily recovering from the initial shocks of the ETF introduction and GBTC unwind. Notably, call-put skew has been increasing from an earlier low, indicating a shift in market sentiment.