{"id":421001,"date":"2022-03-24T22:15:00","date_gmt":"2022-03-24T19:15:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/terras-bitcoin-purchase-and-blackrock-comments-back-eths-surge-to-3-1k\/"},"modified":"2022-03-24T22:15:00","modified_gmt":"2022-03-24T19:15:00","slug":"terras-bitcoin-purchase-and-blackrock-comments-back-eths-surge-to-3-1k","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/terras-bitcoin-purchase-and-blackrock-comments-back-eths-surge-to-3-1k\/","title":{"rendered":"# Terra\u2019s Bitcoin purchase and BlackRock comments back ETH\u2019s surge to $3.1K"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a38179e480a6\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a38179e480a6\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/terras-bitcoin-purchase-and-blackrock-comments-back-eths-surge-to-3-1k\/#%E2%80%9D_Terras_Bitcoin_purchase_and_BlackRock_comments_back_ETHs_surge_to_31K_%E2%80%9C\" >&#8221; Terra\u2019s Bitcoin purchase and BlackRock comments back ETH\u2019s surge to $3.1K   &#8220;<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/terras-bitcoin-purchase-and-blackrock-comments-back-eths-surge-to-3-1k\/#Bulls_expected_a_miracle_and_it_did_not_happen\" >Bulls expected a miracle, and it did not happen<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/terras-bitcoin-purchase-and-blackrock-comments-back-eths-surge-to-3-1k\/#Bears_are_better_positioned_despite_having_smaller_numbers\" >Bears are better positioned despite having smaller numbers<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/buradabiliyorum.com\/en\/terras-bitcoin-purchase-and-blackrock-comments-back-eths-surge-to-3-1k\/#Sub-3000_Ether_would_benefit_bears\" >Sub-$3,000 Ether would benefit bears<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Terras_Bitcoin_purchase_and_BlackRock_comments_back_ETHs_surge_to_31K_%E2%80%9C\"><\/span>&#8221; Terra\u2019s Bitcoin purchase and BlackRock comments back ETH\u2019s surge to $3.1K   &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<div class=\"post-content\" data-v-2a0745c6>Ether (ETH) bulls have a few good reasons to celebrate the 20% gain between March 14 and March 24. The price increase surprised many and led to the first daily close above $3,000 in 34 days.\u00a0<\/p>\n<p>Even with this move, Friday&#8217;s $2.4 billion Ether options expiry is somewhat uncertain because bears can easily profit by pushing the price below $3,000.<\/p>\n<p>In a letter to shareholders, Larry Fink, the CEO of BlackRock, the world&#8217;s largest asset manager, noted that the global socio-political crisis and growing inflation could make way for a global digital payment network.<\/p>\n<p>Moreover, cryptocurrency investors turned bullish after Terra co-founder Do Kwon reconfirmed plans for a giant $10-billion BTC allocation. On March 24, a third tranche of Tether (USDT) left a wallet thought to hold funds earmarked to purchase Bitcoin.<\/p>\n<p>On the macroeconomic side, there have been mixed feelings. For example, retail sales in Canada grew 3.2% over the last month which is above the 2.4% market expectation. On the other hand, the United Kingdom&#8217;s Consumer Price Index came at 6.2% year over year, while expectations stood at 5.9%.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Bulls_expected_a_miracle_and_it_did_not_happen\"><\/span>Bulls expected a miracle, and it did not happen<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Ether&#8217;s recent strength might have come as a surprise for many, but some bulls were definitely over-optimistic. Even though the call (buy) option instruments dominate the March 25 options expiry, overconfident bulls placed bets at $5,000 and higher.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-03\/89e0d002-865b-4abb-87ad-827efaf6db52.png\"><figcaption style=\"text-align: center;\"><em>Ether options aggregate open interest for March. 25. Source: CoinGlass<\/em><\/figcaption><\/figure>\n<p>A broader view using the call-to-put ratio shows a 178% advantage to Ether bulls as the $1.76 billion call (buy) instruments have a larger open interest versus the $630 million put (sell) options. However, the 2.78 call-to-put indicator is deceptive because most bullish bets will become worthless.<\/p>\n<p>For example, if Ether&#8217;s price remains below $3,100 at 8:00 am UTC on March 25, only 10% of the call (buy) options will be available. That effect h<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ens because there is no value in the right to buy Ether at $3,300 if it&#8217;s trading below that level.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Bears_are_better_positioned_despite_having_smaller_numbers\"><\/span>Bears are better positioned despite having smaller numbers<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Below are the three most likely scenarios based on the current price action. The number of options contracts available on March 25 for bulls (call) and bear (put) instruments varies depending on the expiry price. The imbalance favoring each side constitutes the theoretical profit:<\/p>\n<ul>\n<li><strong>Between $2,800 and $3,000:<\/strong> 27,500 calls vs. 37,500 puts. The net result is $25 million favoring the put (bear) instruments.<\/li>\n<li><strong>Between $3,000 and $3,200:<\/strong> 64,000 calls vs. 16,500 puts. The net result favors bulls by $140 million.<\/li>\n<li><strong>Between $3,200 and $3,300:<\/strong> 88,000 calls vs. 15,500 puts. The net result favors the call (bull) instruments by $240 million.<\/li>\n<\/ul>\n<p>This crude estimate considers the call options used in bullish bets and the put options exclusively in neutral-to-bearish trades. Even so, this oversimplification disregards more complex investment strategies.<\/p>\n<p>For instance, a trader could have sold a call option, effectively gaining a positive exposure to Ether above a specific price. But unfortunately, there&#8217;s no easy way to estimate this effect.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Sub-3000_Ether_would_benefit_bears\"><\/span>Sub-$3,000 Ether would benefit bears<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Ether bears need a small dump below $3,000 to avoid a $140 million loss on Friday. On the other hand, the bulls&#8217; best case scenario requires a 4% price increase from the current $3,100 to score a $240 million profit.<\/p>\n<p>Ether bears seem in a worse position considering Larry Fink\u2019s positive remarks and the positive Bitcoin momentum triggered by Luna&#8217;s potential $3 billion BTC acquisition. The most likely outcome is that bulls will continue to display strength by pushing the price to $3,200 or higher as the March 25 options expiry approaches.<\/p>\n<p><em>The views and opinions expressed here are solely those of the <\/em><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/noshitcoins\"><em>author<\/em><\/a><em> and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.<\/em><\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/p>\n<\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/terra-s-bitcoin-purchase-and-blackrock-comments-back-eth-s-surge-to-3-1k\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; Terra\u2019s Bitcoin purchase and BlackRock comments back ETH\u2019s surge to $3.1K &#8220; Ether (ETH) bulls have a few good reasons to celebrate the 20% gain between March 14 and March 24. The price increase surprised many and led to the first daily close above $3,000 in 34 days.\u00a0 Even with this move, Friday&#8217;s $2.4&#8230;<\/p>\n","protected":false},"author":1,"featured_media":421002,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMDMvZjM1MTliOGEtNTNiMi00MDZkLWJlNjItNGI3NDE3ZTk2ZTc1LmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74867,74863,74860,75012,74891,81210,74939,122378,70551,73785,70934],"class_list":["post-421001","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-altcoin","tag-cryptocurrencies","tag-cryptocurrency-exchange","tag-derivatives","tag-ethereum","tag-ethereum-options","tag-market-analysis","tag-terra","tag-inflation","tag-markets","tag-regulation"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/421001","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=421001"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/421001\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/421002"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=421001"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=421001"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=421001"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}