Ethereum Has Been Closed By Pro Traders Even After Their Options Expiry |
The stocks of Ethereum rebounded from a low of $1,550 on the 24th of March- which ended up marking a fall of about 17% from the weekly high of $1,870. Although the options expiry of $1.15 billion would have put quite a lot of pressure on the price of Ether, this was negated by an increase in the fees of gas that is required for transactions in Ethereum.
Traders Haven’t Changed Their Attitude In Conjunction With Ethereum
In order to truly understand the forces at play, one has to analyze the exposure the top traders face using the data provided by Coinbase. In the event that the expiry holds true for the options, then there will be a display for long-to-short data from arbitrage desks and whales that will show the activity in buying despite the expiry of options.
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According to reports, the price of Ether was quite stable at $1,630 at expiration time- which doesn’t shift the attention of the investors from the lack of evidence of several top traders going back to their previous pressure in prices. If this doesn’t turn out to be the case- then there should be no reason to consider the recent sell-off as any part of the options expiry.
CoinMetrics has put forward a report which would verily confront the price drop theory as induced by options. This is going to be the network upgrade numbered EIP-1559 which might not solve the gas problem. According to the report, the only way Ethereum can work with this problem is by bringing out scaling solutions. In this case, most of the top traders would definitely have a lot to worry about- which in turn would pressurise the price of Ether.
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