According to a recent article on Coindesk, pro crypto traders are leveraging IBIT options to bet on BlackRock’s Bitcoin ETF doubling to $100. The article states that the $100 IBIT call option saw a significant volume on day one, signaling expectations that prices could double to $100 in the coming months.
The bullish sentiment is consistent with the noticeable activity in the $200,000 bitcoin call trading on Deribit. According to data tracked by analytics firm ConvexValue, the $100 strike call option saw a trading volume of over 32,000 contracts, with most of the value happening in the Dec. 12 expiry, which was also the most popular settlement overall, accounting for 40% of the total trading volume of 354,000 contracts.
Samneet Chepal, a crypto quant researcher, commented on the activity, saying “It’s pretty interesting to see ‘professionals’ degen into $100 strikes (this effectively means a doubling of BTC prices given IBIT trades near $50).”
The article also notes that the notable uptake for the $100 IBIT call is consistent with activity on offshore crypto options exchange Deribit, where $381 million in notional open interest is locked in the $200,000 strike bitcoin call. This suggests that investors are bracing up for the doubling of the spot price.
Luuk Strijers, Deribit’s chief executive officer, commented that the stateside demand for calls and the resulting “trend trading” by market makers to hedge their books could set the stage for a gamma squeeze higher in BTC’s price.
Predictions:
- Bitcoin ETF price could double to $100 in the coming months.
- Increased activity in the $200,000 strike bitcoin call trading on Deribit could lead to a gamma squeeze higher in BTC’s price.
- Pro crypto traders will continue to leverage IBIT options to bet on the growth of BlackRock’s Bitcoin ETF.
Analysis:
The article highlights the growing interest in BlackRock’s Bitcoin ETF and the increasing activity in the options market. The data suggests that pro crypto traders are bullish on the ETF and are betting on its price doubling to $100. The article also notes that the activity on Deribit is consistent with the trend, suggesting that investors are bracing up for the doubling of the spot price.
The predictions are based on the data and the comments from experts in the field. The article provides a comprehensive analysis of the market trends and the activity in the options market, making it a reliable source for predictions.
