Bitcoin price plummets, facing a crucial test.

Bitcoin price falls to a 6-week low.

Last week, Bitcoin plummeted 9.7% to $112,100, its lowest level in six weeks, putting buyers at a disadvantage.

On August 29th, a series of Bitcoin options contracts worth $13.8 billion will expire, an event seen as a crucial test for the current price trend.

Buyers faltered before reaching the $114,000 mark.

The total value of call options reached $7.44 billion, 17% higher than put options at $6.37 billion. However, most call contracts were placed at $125,000 or higher, making them virtually meaningless at the current price.

Only 12% of call options were placed at or below $115,000, while 21% of put options were concentrated at $115,000 and particularly strong at $112,000, a level that put significant pressure on buyers.

Bitcoin price scenarios at expiration.

According to data from Deribit, the exchange that holds 85% of the BTC options market share, five scenarios are possible:

$105,000 - $110,000: Puts prevailed with net profits of $2.45 billion.

$110,100 - $114,000: Puts surpass Calls by $1.5 billion.

$114,100 - $116,000: Puts dominate with $360 million.

$116,100 - $118,000: Calls win $460 million.

$118,100 - $120,000: Calls outperformed with $1.1 billion.

The $114,000 threshold is considered a "strategic point," determining the balance between the two sides.

The Fed and tech stocks have become major unknowns.

Bitcoin is not only dependent on the derivatives market, but also influenced by macroeconomic factors. Investors are awaiting Federal Reserve Chairman Jerome Powell's speech at the Jackson Hole conference. Any hint of a potential interest rate cut could help asset prices recover.

In addition, the US stock market is also putting pressure on the market. A report from Morgan Stanley warns that soaring costs in the artificial intelligence sector could limit the ability of technology companies to buy back shares, increasing cautious sentiment.