Bitcoin ETF holders and treasury firms stack protection against price crash below $60,000, options exchange says
Bitcoin ETF holders and corporate treasuries are heavily buying $60,000 put options as portfolio insurance against a price crash.Summary
According to cryptocurrency exchange Deribit, major long-term holders of Bitcoin, specifically ETF investors and corporate treasuries, are aggressively purchasing downside protection in the form of 6-month and 1-year put options with a strike price of $60,000 or lower. These put options act as insurance, allowing holders to sell BTC at $60,000 even if the market price falls further. Open interest for these $60,000 puts on Deribit, which handles nearly 80% of global crypto options activity, has reached $1.50 billion. This hedging activity, despite Bitcoin trading near $70,000, signals deep concern among sophisticated market participants that any current price rally might be temporary. The 30-day risk reversal shows puts trading at a premium to calls, indicating smart money is prioritizing protection over chasing gains. Furthermore, dealers who provide liquidity may exacerbate volatility if prices drop below $63,000 because they become "short gamma" and may sell more BTC to rebalance their exposure.
(Source：CoinDesk)