Smart Traders Are Gearing Up for Bitcoin Options Boom!

Options on BlackRock's IBIT ETF could become the next big driver of leveraged returns in the crypto market..

👇1-13) One of the most important principles in Bitcoin—and in life—is leveraging assets at the lowest possible cost. This is a central theme in meme coin trading; some see it as entertaining or culturally significant. At its core, it's about seeking massive financial returns, like 1,000x or 10,000x gains, essentially a form of leverage. For example, one trader invested $800 into Moodeng tokens, now worth $3.8 million.

👇2-13) The major players don’t rely on luck; they disproportionately engineer leverage to benefit from market upside. Recently, there has been a significant shift in how leverage impacts the Bitcoin ecosystem—whether through Bitcoin options, the share prices of Bitcoin mining companies, or even firms like MicroStrategy—reflecting the broader pursuit of outsized gains through sophisticated financial strategies.

👇3-13) This year, the monthly trading volume of Bitcoin options has ranged between $42 billion and $71 billion. Deribit continues to dominate the market with a 72% share, although this is down from 78% a year ago, as Binance and OKX have gained traction among traders. Bybit is also offering options. While options have already become a key tool for creating leverage, their importance is expected to grow further over the coming quarters. As more traders and institutions increasingly utilize options for strategic positioning, their influence on market dynamics will likely expand significantly.

Volume of Bitcoin Options traded ($ billion) - strong growth in 2024

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