Bitcoin Options Are Not Capping BTC Price

The article refutes the theory that rising Bitcoin options activity, particularly covered calls linked to the BlackRock IBIT ETF, is capping BTC's price upside following its November downtrend. Critics suggest that investors selling covered calls effectively cap their upside, and dealers hedging these trades create persistent sell walls. This shift toward options-based yield is attributed to the collapse of the cash and carry trade, which offered lower premiums in 2025. However, the stable put-to-call ratio (below 60%) suggests that for every yield-seeking call seller, there is a buyer positioning for a breakout, as evidenced by increased put purchases for protection. Furthermore, the skew metric shows put options trading at a premium, and implied volatility has declined, weakening the incentive for suppressive call selling. The conclusion is that the options market is primarily monetizing volatility for yield rather than acting as a structural constraint on price appreciation.

(Source：Cointelegraph)