Bitcoin (BTC) rebounded to around $59,800 after falling to $58,206, recovering amid a sharp decline in Asian shares, including an 8% drop in South Korea’s Kospi and a 3% drop in Japan’s Nikkei.
Despite this recovery, the price of bitcoin is still down more than 5% for the week and almost 20% for the month. Experts note that the $50,000 to $60,000 range has historically been a strong support zone for bitcoin, attracting buyers during market downturns. The sell-off in Asian shares follows risk aversion on Wall Street, fueled by price increases announced by major tech firms such as Apple due to rising costs, SEEbiz reports.
But the environment for bitcoin is not looking good right now. Bets against Bitcoin are piling up on Wall Street as the cryptocurrency’s price falls near a two-year low.
Options traded on the iShares Bitcoin Trust ETF (NASDAQ: $IBIT ), the largest exchange-traded BTC fund, totaled 1.1 million contracts on June 25, double the average over the past 30 days.
Put options have more than doubled the number of call options as Wall Street traders continue to believe that the price of Bitcoin must fall further.
