The current Bitcoin (BTC) price is hovering around $107,000, indicating a period of consolidation following a volatile ride in the markets. As we approach the end of the month, the upcoming weekend trade is expected to be crucial. Traders are speculating whether the BTC price will remain range-bound around $107K or exhibit significant price action.
Currently trading between $105,000 and $108,000, Bitcoin has shown resilience this week, bouncing back from recent lows below $100K. This rebound has been fueled by ETF inflows and continued accumulation by whales in the market.
One of the major short-term catalysts to watch out for is the options expiry event, with over $40 billion in BTC options set to expire. The max pain point, where most options lose value, is estimated to be around $102K, indicating that BTC could be drawn towards this level as traders close out their positions. These expirations often lead to short-term volatility, especially over the weekends when liquidity is lower. Additionally, chart patterns suggest that the price is likely to form a CME gap during the weekend.
A well-known analyst, Daan Crypto Trades, predicts that there may not be significant price action over the weekend, with the price likely to hover around the $107K region where it has been trading for most of the week. Following a period of consolidation, a breakout is expected at the start of the new trading week. This breakout could potentially lead to the formation of a significant CME gap, which may attract a notable pullback after reaching local highs.
In conclusion, it is anticipated that the Bitcoin (BTC) price will experience a drop on Sunday, followed by a strong rebound, ultimately ending the month on a bullish note. This prediction sets the stage for an exciting week ahead in the cryptocurrency markets.