PUT Options

Bitcoin is trading near $85,000 as a large quarterly options settlement approaches, with bullish call positioning dominating the book. Market participants are watching whether dealer hedging flows fade after expiry and open the door to renewed short term volatility.

Bitcoin’s sharp advance from roughly $62,000 to $80,000 has put a major options expiry in focus, with $6.4 billion in contracts set to expire Friday. Market participants are watching the $75,000 and $80,000 call strikes, while max pain sits at $68,000.

UBS reported a sharp quarterly increase in call option exposure linked to BlackRock’s iShares Bitcoin Trust, with calls representing 1.95 million underlying shares as of June 30. The Swiss banking group also increased direct IBIT holdings while reducing put option exposure during the quarter.

Tudor Investment increased its direct holding in BlackRock’s spot bitcoin ETF in the second quarter, even as its options positioning shifted sharply. The move keeps the firm’s IBIT exposure far below its late 2024 peak, underscoring a more measured approach to bitcoin-linked securities.

Bitcoin is holding a tight range as 30-day implied volatility sits near a long-standing 36% floor, even while broader risk assets move with more force. Market participants say the calm should not be confused with safety, especially with leverage, thin depth, regulatory uncertainty and macro catalysts still in play.

Bitcoin options positioning has shifted as the $70,000 call becomes the market’s most crowded bullish strike, replacing the long-dominant $80,000 call. The change suggests traders may now view the upper end of bitcoin’s near-term range as lower, while dealer hedging could slow rallies above that level.

Bitcoin options traders are aggressively buying short-dated put contracts, signaling growing concern that the selloff could extend further. The bearish positioning points to downside targets near $52,000 as macro pressure builds.