In a dynamic period for Ethereum (ETH), crypto market analysis platform Blofin has reported a significant shift in the ETH options market. Blofin revealed that a trader shorted nearly 60,000 ETH call calendar spreads, buying options set to expire in June while shorting those due in September. This move suggests speculation on a substantial price change from current levels.
Discussing this development, Biofin Academy tweeted:
There has been a change in the ETH options market. One trader shorted nearly 60,000 ETH call calendar spreads by buying options expiring in June and shorted options expiring in September. He seems to be betting on a possible price move significantly from current levels (think… pic.twitter.com/9typFAdT32
— Blofin Academy (@Blofin_Academy) May 16, 2023
The platform added that a drastic price increase is not off the table, but the trader’s move seems to be more in tune with a slower, more gradual shift.
Several Twitter users also weighed in on the situation, noting a pattern. One user commented that “the entity does this every few months remains short furthest out maturity covers shorter date to my understanding that one of the causes of supply being talked about.”
In related news, Ethereum recently achieved a remarkable milestone, locking away 19,375,242 ETH, a total value locked (TVL) of $27.7 billion. This reduction in circulating supply is a significant factor in the pricing of cryptocurrencies, often driving price increases.
Changpeng Zhao, CEO and co-founder of Binance reflected on this milestone. Zhao expressed his bullish sentiment on Ethereum’s achievement, suggesting a potential price surge might be on the horizon. Given the declining supply and growing demand for Ethereum, Zhao hinted that it could be a sign of impending price growth, further establishing Ethereum as a dominant player in the cryptocurrency market.
As previously reported by Crypto Tale, the resurgence of memecoins driven by the frenzied trading around tokens like PEPE, WSB Coin, and the newly launched FOUR, traders have reportedly paid significant sums to expedite their transactions. One trader paid an astonishing $120,000 in gas fees to acquire 84 ETH ($156,000) worth of FOUR tokens, indicating the extent to which the hype around memecoins can influence transaction costs. This particular transaction’s fees amounted to nearly 77% of the total purchase.
