A $3.2 million 'bitcoin butterfly' option trade bets on $95,000 by the end of October
A trader has executed a $3.2 million 'long call butterfly' options strategy betting that Bitcoin will reach $95,000 by the end of October. This move reflects growing bullish sentiment in the crypto market as traders increase their demand for upside exposure.
Why it matters
Large-scale options trades provide insight into institutional and professional investor sentiment regarding the short-term price trajectory of major digital assets.
Bitcoin’s BTC $86.030,61 rally has traders chasing upside exposure, with the most notable options trade of the past 24 hours pointing to expectations for a move toward $95,000 by the end of October.
The trade was a “long call butterfly,” an options strategy that benefits most when the underlying asset settles near a specified middle strike price at expiry. The trade involved buying the Oct. 30 expiry calls at $90,000 and $100,000 while simultaneously selling twice as many $95,000 calls.
The trade was executed in five blocks, each consisting of 1,000 long $90,000 calls, 2,000 short $95,000 calls and 1,000 long $100,000 calls, according to data source Laevitas. The combined position involved a net initial payment of $3.17 million.
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