Bitcoin $102,673.0continues to remain at the $ 100,000 level due to increasing leveraged buying demands and hedging strategies of market makers. However, this indicates that volatility may increase in the cryptocurrency market. Experts emphasize that current movements are largely due to leveraged transactions.
Market Makers and Hedge Activities
Market makers ensure a stable course by balancing Bitcoin’s price fluctuations. “Bitcoin could stabilize around $100,000 thanks to hedging activities by market makers,” Griffin Ardern said. These strategies offer significant support by limiting price movements, especially in the options market.
However, balances in the options market should be closely monitored. The positive gamma effect can sustain prices in the short term. However, there is a risk that volatility will increase as positions expire in December. This situation may bring uncertainty for investors towards the end of the year.
The increase in funding rates also attracts attention. The fact that annual funding rates in Bitcoin are approaching 100% shows that the demand for leveraged purchases is increasing. Felix Hartmann: “The market is driven entirely by leveraged transactions. “If there is no additional demand, there may be a harsh correction,” he said.
Volatility and Investor Risks
The increase in leveraged transactions also has an impact on other cryptocurrencies. Ethereum 
$3,913.0 As funding rates rise in and altcoin markets, this increases the risk of a pullback. Experts are concerned about the sustainability of this trend. “The market cannot remain at these levels without additional demand,” Hartmann warned.
Geopolitical developments and regulatory decisions also closely affect the market. These factors can play an important role, especially when setting year-end goals. Investors should be prepared for market fluctuations and manage their risks accordingly.
As a result, Bitcoin’s movement at the $ 100,000 level stands out as a balancing factor that determines market dynamics. However, increased volatility and potential correction risks should not be ignored. It is of great importance for investors to be careful in this process.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that crypto currencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
