Bitcoin Rally Draws Fresh Capital, But Options Traders Remain Cautious
Bitcoin's recent rally above $81,000 has drawn fresh capital from various parts of the market, but options traders are still not pricing a clean breakout.
The cryptocurrency accelerated above $81,000 on Thursday as Federal Reserve Gov. Christopher Waller said he could support keeping interest rates unchanged this month if August inflation continues to cool.
This news helped spark a rally across major cryptocurrencies, with Ethereum, XRP, and Solana gaining more than 5%, while Zcash and Cardano climbed over 10%.
US spot Bitcoin ETFs drew $730.9 million on Thursday, their largest daily inflow since January, providing a stronger source of demand after CryptoQuant found that much of Bitcoin's earlier push toward $81,000 was driven by shorts being liquidated or closed.