BlackRock. (Jim Henderson, modified by CoinDesk)

Pro Crypto Traders Are Leveraging IBIT Options to Bet on BlackRock’s Bitcoin ETF Doubling to $100: Observers

Summary

BlackRock's spot bitcoin ETF launched with a first-day trading volume of $1.9 billion, primarily in call options, indicating a bullish sentiment among traders. The ETF closed at $52.70, with over 32,000 contracts traded for the $100 strike call option, which represents a potential doubling of BTC prices. The December 12 expiry was the most popular, accounting for 40% of total trading volume. The $55 strike call was the most traded option, with call options overall outpacing put options by four times. Deribit reported significant open interest in $200,000 strike bitcoin calls, suggesting investors anticipate price increases. U.S. institutions and retail investors entering the market could lead to increased volatility and potential gamma squeezes in BTC prices.

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