Last month, Coindesk reported that big money is getting more and more bullish in ether
ETH$2,461.38
the price chart shows potential gatherings over $3,000.
New evidence is now emerging in support of these claims.
On Thursday, traders paid more than $2 million in premiums on Thursday, purchasing an ether call option for the end of June, totaling 61,000 contracts, including $3,200 and $3,400, according to the data source Crypto Options Exchange Deribit.
Theoretically, the $3,200 call bets that ether prices will rise to more than $3,200 by the end of this month from the current $2,460. The $3,400 call purchase shows hopes for a move beyond that level.
In other words, traders expect prices to jump above 30% in three weeks.
Call options grant the buyer the rights, but do not grant the obligation to purchase the underlying asset at a given price at a later date.
Cole buyers are implicitly bullish in the market and pay a premium for asymmetric reverse exposures. In this case, the premium paid is $2 million, which means the maximum amount that buyers will lose, in case the market doesn’t rise as expected.
Stars match the Bulls
The bullish trend is consistent with new optimism among some analysts regarding the price outlook for ether.
According to Bit Mining, Chief Economist, PhD, Expectations on Protocol Upgrades, Institutional Moves and New Financial Products, everything is coming together to restore investors’ confidence in Ether.
Ethereum, the parent blockchain of Ether, recently implemented a Pectra upgrade to improve scalability, validator flexibility and user experience, and introduced key features such as the EIP-7702 to enable regular wallets to take advantage of smart contract capabilities.
“The Pectra upgrade, released on May 7th, was an important turning point. By increasing the baller cap from 32 to 2,048 ETH and doubling the blob throughput, Ethereum took a major step in both staking efficiency and layer 2 scalability.”
“It’s a clear signal that the network is serious about scaling and improving its core infrastructure. This is a technological advancement that not only developers, but users and capital, return to the ecosystem,” Yang added.
Yang cited the announcement from Sharplink Gaming. This moved $425 million to Ethereum, approved as Treasury approval as Treasury Department’s Treasury Department.
“It reminds me of the early wave of adoption by businesses at the Bitcoin Treasury, which could only be the beginning of something similar for ETH,” Yang pointed out.
Finally, speaking of the adoption of the system, we speculate that US regulators will soon approve spot ether ETFs with staking mechanisms, and that institutions will open the doors to touch on both price and staking yields, which are missing features in BTC ETFS.
Read more: Ether was preferred for big money over bitcoin, here are three clues pointing to ETH bias in the crypto market
