CandleFocus

BlackRock Bitcoin ETF Put Options at $30, $35 Price Levels See Volume Spike

Surging volumes in put options for BlackRock's Nasdaq-listed spot bitcoin ETF (IBIT) may seem like bearish sentiment, but it is likely due to market participants generating passive income through "cash-secured put selling" rather than bearish bets. This strategy involves selling put options and acquiring the underlying asset at a lower price while keeping the premium received. While IBIT call options continue to trade higher than puts, overall sentiment remains bullish, as indicated by positive call-put skews and net inflows into IBIT.

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