Bitcoin’s record-breaking rally is coming to an end, with investors reducing their risk exposure as the year draws to a close. The oldest cryptocurrency fell 3.4% to $95,110 in New York on Thursday, marking its first decline in three days.
While some analysts believe MicroStrategy Inc.’s recent Bitcoin buying plans may boost prices, others warn of potential volatility ahead of major expiries of open interest in derivatives markets. MicroStrategy has announced significant purchases of the digital token, but its impact on the market remains uncertain.
Bitcoin’s price surge this year exceeds 130% and is comparable to traditional investments like global stocks and gold. However, investors are becoming increasingly cautious, with some warning of a “choppy market” ahead due to massive expiries of open interest in Bitcoin and Ether derivatives on Deribit.
Source: https://finance.yahoo.com/news/bitcoin-gains-microstrategy-plans-issue-034118453.html