He revealed what may be the most likely key driver for the very first Omega candle, which will push the price of the world’s flagship cryptocurrency toward $1 million. His prediction has to do with Michael Saylor’s Bitcoin-focused company, MicroStrategy.
Mow expects the first Omega candle for Bitcoin to happen thanks to a gamma squeeze on MicroStrategy stocks. Gamma squeeze is related to options trading and it happens with a great number of call options (which indicate a bet on a price increase) gets bought. When this happens, market makes are forced to hedge the risks and they begin to buy the stock itself which backs the options. This drives the stock’s price higher. This is what Mow expects to happen to MSTR and then he expects this to push the Bitcoin price up.
Meanwhile, MicroStrategy is not slowing down its strategic Bitcoin purchase plan, regularly adding more BTC to its stash.
Mow explains that by dollar-sat parity he means the approximate purchasing power of the dollar in the present day. “A dozen eggs will be 2-3 sats,” he tweeted.
He added that this will happen if the remaining Bitcoin is divided “equally between everyone on the planet.” It is already impossible to divide the 21 million BTC “equally” because of current holders. The actual number of BTC that the average person might end up with per Mow is likely 10-50K Sats.
This article was originally published on U.Today
Source: Cryptocurrency - investing.com
