Is Bitcoin on Shaky Ground? Market Signals Reflect Patterns That Foretold the Recent Slide in Trump Media Shares

"A typical indicator is the implied probability distribution: whether it is MSTR, COIN or Deribit's BTC options, the implied probability distribution of different expiration dates has shown a significant left shift," Griffin Ardern, head of options trading and research at crypto financial platform BloFin, told CoinDesk. "It seems that traders have an implied consensus that the prices of BTC and altcoins are still high, and more pullbacks may be on the way."

"Per data tracked by crypto financial platform BloFin, the implied probability distribution now shows a 'left shift,' suggesting that the market participants see a higher probability of BTC trading at lower prices from here."

"Ardern added that a similar left shift was seen in the DJT options market, presaging the recent price slide. The share price has halved to $27 in just over two weeks, according to charting platform TradingView."

"Shares in Trump media experienced a similar dynamic before the recent price slide. As bitcoin's (BTC) price struggles to secure a foothold above $90,000, developments in the Deribit-listed options market tied to the cryptocurrency resemble patterns that foreshadowed the recent price slide in the Trump media shares."

Read at Coindesk