Yahya 
Having acquired 15.1% between Sept. 18 and Sept. 23, Ether ( ETH) is trying to keep its position above the $2,600 resistance mark. Weak macroeconomic data and a stock market comeback that raised demand for temporary government bonds have helped to underpin the climb. Traders are currently eagerly observing the forthcoming $2.78 billion monthly Ether options expiry on Sept. 27, which could decide the sustainability of this optimistic momentum.
The U.S. Federal Reserve’s interest rate decreases, which indicate a change toward more supportive monetary policy, have mostly fuelled the price surge. Consequently, on September 24 the S&P 500 reached an all-time high. Further driving Ether’s price was the decline in the S&P Global Manufacturing PMI on September 23, which begged questions about the state of the economy.
Investors seeking safer government-backed assets have driven yields on the U.S. 2-year Treasury note down to a 24-month low, therefore favoring limited assets like Ether. Ether is still down 33% over the previous four months, following the poor debut of a spot exchange-traded fund (ETF) that resulted in $684 million in outflows, notwithstanding the present surge.
Among the $2.77 billion in open interest for Ether options are $0.95 billion in put (sell) options and $1.82 billion in call (buy) options. Bulls seem to have the upper hand with $1.47 billion of call options aimed at pricing of $2,700 or higher. But if Ether doesn’t reach that price by Sept. 27, these options will expire worthless, so providing bears a possible benefit.
Demand for Ether’s smart contract processing features has soared as its price grows; a 15% increase in transactions on the Ethereum network has resulted in an average transaction fee increase. Ether’s supply has expanded meantime; 58,856.4 ETH added in the past 30 days reflects a 0.6% yearly inflation rate. Along with competition from sites like Solana and BNB Chain, this surge in supply begs questions about Ether’s capacity to surpass $3,000.
Ether bulls will have to raise the price over $2,700 if the $2,600 support level is broken in order to significantly advantage from the options expiry approaching; bears may lock in a $100 million win.
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The information in this article does not provide any investment advice.