Close Menu
StreamLineCrypto.comStreamLineCrypto.com
  • Home
  • Crypto News
  • Bitcoin
  • Altcoins
  • NFT
  • Defi
  • Blockchain
  • Metaverse
  • Regulations
  • Trading
What's Hot

What this means for third largest cryptocurrency

October 7, 2025

S&P Launches Digital Markets 50 Crypto Index

October 7, 2025

A Weekly Close Above $0.41 Could Make History

October 7, 2025
Facebook X (Twitter) Instagram
Tuesday, October 7 2025
  • Contact Us
  • Privacy Policy
  • Cookie Privacy Policy
  • Terms of Use
  • DMCA
Facebook X (Twitter) Instagram
StreamLineCrypto.comStreamLineCrypto.com
  • Home
  • Crypto News
  • Bitcoin
  • Altcoins
  • NFT
  • Defi
  • Blockchain
  • Metaverse
  • Regulations
  • Trading
StreamLineCrypto.comStreamLineCrypto.com

Put Options for BlackRock’s Bitcoin (BTC) ETF at $30, $35 See High Volume – What’s Happening?

December 16, 2024Updated:December 16, 2024No Comments3 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
Put Options for BlackRock’s Bitcoin (BTC) ETF at ,  See High Volume – What’s Happening?
Share
Facebook Twitter LinkedIn Pinterest Email
ad


Surging volumes in put choices linked to BlackRock’s Nasdaq-listed spot bitcoin ETF (IBIT) could possibly be interpreted as bearish sentiment. That is not essentially the case.

On Friday, greater than 13,000 contracts of the $30 out-of-the-money (OTM) put possibility expiring Might 16 modified arms because the ETF rose 1.7% to $57.91, in keeping with information from Amberdata. Quantity within the $35 put possibility expiring Jan. 16, 2026, topped 10,000 contracts.

Many of the exercise most likely stems from market individuals seeking to generate passive earnings by “cash-secured put promoting” fairly than outright buy of the choices as bearish bets, in keeping with Greg Magadini, Amberdata’s director of derivatives.

A put vendor, providing insurance coverage towards worth drops in return for a premium, is obligated to buy the underlying asset at a predetermined worth on or earlier than a selected expiration date. (That is against the client of the put, who has the correct however not the duty to promote the asset.)

Meaning savvy merchants typically write OTM places to accumulate the underlying asset at a lower cost whereas pocketing the premium obtained by promoting the put possibility. They achieve this by repeatedly sustaining the money required to buy the asset if the proprietor of the put possibility workouts their proper to promote the asset.

Therefore, the technique known as “cash-secured” promoting of places. In IBIT’s case, sellers of the $35 put expiring in January 2026 will preserve the premium if IBIT stays above that stage till expiry. If IBIT drops beneath $35, the put sellers should purchase the ETF at that worth whereas holding the premium obtained. The sellers of the $30 put expiring in Might subsequent yr face an identical payoff situation.

“The $35 Places for Jan 2026 traded +10k contract with an IV vary of 73.52% to 69.94%, VWAP at 70.75% suggests web promoting from the road… probably Money Secured put promoting flows (for merchants who missed the rally),” Magadini mentioned in a observe shared with CoinDesk.

IBIT options volume on Friday. (Amberdata)

IBIT choices quantity on Friday. (Amberdata)

Saxo Financial institution’s analyst urged cash-secured put promoting as the popular technique in Nvidia early this yr.

Calls are pricier than places

Total, IBIT name choices, which provide an uneven upside to patrons, proceed to commerce pricer than places.

As of Friday, call-put skews, with maturities starting from 5 to 126 days, had been optimistic, signaling relative richness of implied volatility for calls. The bullish sentiment is according to the pricing in choices tied to bitcoin and buying and selling on Deribit.

On Friday, IBIT recorded a web influx of $393 million, representing nearly all of the whole influx of $428.9 million throughout the 11 spot ETFs listed within the U.S, in keeping with information tracked by Farside Buyers.

IBIT call-put skews. (Amberdata)

IBIT call-put skews. (Amberdata)





Source link

ad
Bitcoin BlackRocks BTC ETF Happening High Options put volume Whats
Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
Related Posts

What this means for third largest cryptocurrency

October 7, 2025

S&P Launches Digital Markets 50 Crypto Index

October 7, 2025

A Weekly Close Above $0.41 Could Make History

October 7, 2025

Solana Sees Explosive Stablecoin Growth – Here’s How Much Supply Is Held In The Blockchain

October 7, 2025
Add A Comment
Leave A Reply Cancel Reply

ad
What's New Here!
What this means for third largest cryptocurrency
October 7, 2025
S&P Launches Digital Markets 50 Crypto Index
October 7, 2025
A Weekly Close Above $0.41 Could Make History
October 7, 2025
Solana Sees Explosive Stablecoin Growth – Here’s How Much Supply Is Held In The Blockchain
October 7, 2025
Embedded NFT Wallets: How In-App Wallets Are Transforming Web3 UX in 2025
October 7, 2025
Facebook X (Twitter) Instagram Pinterest
  • Contact Us
  • Privacy Policy
  • Cookie Privacy Policy
  • Terms of Use
  • DMCA
© 2025 StreamlineCrypto.com - All Rights Reserved!

Type above and press Enter to search. Press Esc to cancel.