Bitcoin continued its rise, confirming the optimistic scenarios put forward by analysts at the beginning of the week, with its price rising above $74,000, its highest level in the last four weeks. With this strong momentum in the cryptocurrency market, new resistance and support points were focused on.
$75,000 Level and Negative Gamma Effect
The level that attracted the most attention in the market was $ 75,000. According to data from the Deribit options market, around this price the positions of market makers and major players gained weight towards negative gamma. Especially in options transactions, “gamma” refers to the speed of price adjustments made by market makers to hedge risk.
In the case of negative gamma, market makers are forced to buy more on rises and sell more on declines when more price movement occurs. This can increase the volatility in prices and trigger fluctuation in the market.
With the market hovering near $75,000, even small price changes can cause market makers to quickly change their positions. While additional purchases may be seen if the price rises above this level, in the opposite movement the selling pressure may intensify and $75,000 may serve as a ‘volatility trigger’ point.
Considering that Bitcoin’s options market has grown significantly since 2020, the impact of negative gamma positions on both upward moves and sharp declines has become more visible than in the past.
Technical Indicators and Resistance Points
$75,000 is also a zone where the 100-day moving average is commonly used in technical analysis. This average had previously prevented the rise, especially in January, and played an important role in the price falling to $60,000. Therefore, this level stands out as a resistance and psychological threshold that investors and traders keep a close watch on.
On the other hand, the $80,000 to $80,600 range is shown as another important area to watch from a technical perspective. The feature of this band is that market makers enter a positive gamma state here; That is, when the price rises, they take a seller position rather than a buyer position, and when the price falls, they take a buyer position. Thus, price movements are expected to be more limited and balanced in this range.
The $80,525 level attracts historical attention. This is where last November’s decline lost momentum. From that point on, the decisive power of the sellers in the market decreased, and with a recovery movement that lasted two months, the price of bitcoin approached $ 100,000 again.
Long Term Trend Outlook
Analysts and investors also show great interest in the 200-day moving average. This indicator is one of the most preferred metrics to monitor the long-term trend of bitcoin. According to the latest data, this averages out to $87,519. The fact that the current price is slightly below this average suggests that bitcoin still has upside potential in terms of its long-term valuation.
Investors are closely watching how the market will react to changes between $75,000 and $80,000 in the coming days. In this table shaped by technical and derivative market data, it is also possible that volatility will increase.
