Alex Thorn, the head of research within the company, claims that Bitcoin (BTC) is currently showing positive trends and strengthening fundamental indicators. He believes that in the near future, the price of BTC could significantly rise, as a “gamma squeeze” has occurred.
In his opinion, if Bitcoin rises within the range of $35,750 to $36,000, it will incentivize options dealers to purchase BTC up to $20 million in the spot market for every percentage increase in price. Thorn explains that dealers are forced to make spot purchases to maintain delta neutrality when the market is not in their favor.
However, in another message, he also notes noticeable signs of decreasing network liquidity. Despite this, he still makes an optimistic forecast based on a 4-year moving Z-score, which reflects the ratio of the market price to the strike price. Thorn emphasizes that this indicator points to the formation of a model that preceded several previous market surges.
Long-term investors are likely waiting for higher prices before realizing profits, considering that 70% of all BTC have not changed hands in over a year.