The crypto market sentiment is leaning bearish, with traders closely monitoring Bitcoin's support range between 110,000 and 108,000. There is a division among market participants on whether a bear market is imminent, with some suggesting that continued declines into next week could confirm such a trend.
Traders are employing out-of-the-money (OTM) put strategies for downside protection, as the current put skew reaches 5 points, indicating a favorable environment for selling puts. The period from mid-September to October is seen as a potential rebound window, with attention on October call options amid expectations of a rate cut that could shift market dynamics. Technical indicators show Bitcoin's weekly MACD is at risk of a bearish crossover, reminiscent of last December's market conditions, suggesting a possible adjustment period of about a month.
Crypto Traders Brace for Potential Bear Market as BTC Faces Key Support Levels
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