Bitcoin Call Options Show Increased Interest in Higher Prices
According to a report, there has been a surge in bitcoin call option buying at strike prices above $60,000 for expiries from April through to December. This week alone, close to $10 million was spent on premiums for $60,000 and $80,000 strikes. The Deribit cryptocurrency derivatives exchange also confirms this trend, with a significant concentration of open bitcoin call options at strike prices of $65,000 and above for expiries from April through to December. Notably, there is a focused cluster of call options at a strike price of $100,000 for the December end-of-year expiry.
Largest Volume of Bitcoin Options are Calls at $60,000 Strike Price
The largest volume of upcoming bitcoin options expiries is concentrated in calls at a strike price of $60,000 for the end of March expiry. There are 1,273 contracts for bitcoin calls at this strike price, amounting to over $67 million. This suggests that many market participants anticipate the price of bitcoin rising above $60,000.
Understanding Bitcoin Call Options
When you buy an options premium, you are paying a fee to acquire an options contract. Options give you the right (but not the obligation) to buy or sell an underlying asset at a predetermined price within a specified time frame. By purchasing the options premium, you gain this right.
Bitcoin Price and Market Index
As of now, bitcoin is trading at $52,330 according to The Block’s Price Page. The GM 30 Index, representing the top 30 cryptocurrencies, has risen by 2.49% in the past 24 hours and currently stands at 112.63.
Theon Barrett shines as a distinguished crypto analyst, accomplished researcher, and skilled editor, making significant strides in the field of cryptocurrency. With an astute analytical approach, Theon brings clarity to intricate crypto landscapes, offering insights that resonate with a broad audience. His research prowess goes hand in hand with his editorial finesse, allowing him to distill complex information into accessible formats. Theon’s work serves as a guiding light for both experienced enthusiasts and newcomers, providing well-researched perspectives that empower informed decision-making in the ever-evolving realm of cryptocurrencies.