$3.2 Million Bitcoin Options Bet Pins Price Target on October 30
A $3.2 million options trade on Deribit has set a precise price target for Bitcoin, predicting it will reach $95,000 by October 30.
The butterfly spread strategy used in this trade earns the most if Bitcoin settles at exactly $95,000, but decreases in profit if the price is above or below that mark.
This reflects a trader's view of a narrow price range with limited risk, suggesting they are less optimistic about a significant Bitcoin rally. The largest open position on Deribit is currently the October 30 $95,000 call, which covers around 23,275 Bitcoin.
Deribit's chief commercial officer, Jean-David Péquignot, notes that there is a concentration of call options at the $85,000, $90,000, $95,000, and $100,000 strike prices. These blocks often function like butterfly spreads and can reflect either traders expecting a price rally or holders selling calls to collect premiums.