10X Research: Bitcoin Falls Back into Liquidity Trap Zone, Market May Reverse

Odaily 10X Research CEO Markus Thielen stated at the Consensus Hong Kong conference: "After the November 2024 election concluded, Bitcoin surged from $70,000 to $90,000 in just 10 to 12 days. During this process, trading activity was very sparse, creating a massive gap, a liquidity vacuum zone. Therefore, when Bitcoin fell back to $87,000, it dropped into this liquidity trap. What happened next was: at the $75,000 level, a large amount of negative option gamma appeared. This means market makers had to hedge, forcing them to continuously sell futures. As the last wave of negative gamma impact is digested at $60,000, the market situation may reverse."