Traders pile millions into bets Bitcoin will hit $100,000 in September — here’s what will drive the rally

Traders are loading up on bullish options that pay off if Bitcoin reaches $100,000 in September, according to crypto market maker Wintermute.

It’s a sign they’re optimistic, and they have been since February, Jake Ostrovskis, an over-the-counter trader at the firm, told DL News. He added that Bitcoin’s ability to hover at or above $60,000 is a sign that short sellers are fleeing.

Bullish options

Options activity for contracts expiring in December, and ones expiring in March next year, is mostly bullish, he said.

Contracts representing almost $6.3 billion worth of Bitcoin will expire on April 26, according to options metrics platform basedmoney, almost two-thirds of which are bullish.

Traders have piled another $3.3 billion in bullish Bitcoin bets expiring on June 28 that pay off if the price reaches $75,000.

Bartosz Lipiński, CEO of crypto exchange Cube, who used to work at hedge fund Citadel, told DL News that despite macroeconomic concerns and a post-halving sell-off, buyers are stepping in.

He said he’s seeing “a good amount of demand,” as traders bought $1.2 billion worth of Bitcoin during a recent low.

Bargain hunters are seizing on lower prices to buy so-called satoshis, the smallest unit of measure possible for Bitcoin, Lipiński said.

Ostrovskis concurred.

“We noted significant spot buying across the board” via over-the-counter desks, he said.

Lipiński named the Hong Kong spot Bitcoin ETFs and a Bitcoin token protocol called Runes as bullish catalysts.

Launched on the weekend, Runes allows developers and investors to interact with Bitcoin-native tokens, such as memecoins, in an easier fashion.

“How much Bitcoin bulls run up the price is anyone’s guess, but I’d say a new highwater mark is dependent more on Runes than anything else,” Lipiński said. “Early indications are that it will likely deliver on expectations.”

Crypto market movers

• Bitcoin slumped 2.8% in the last 24 hours, and is trading for $64,710.
• Ethereum is down 1.7% in the same period, at $3,170.

What we’re reading

• Binance exec Tigran Gambaryan is a ‘state-sanctioned hostage’ in Nigeria says lawyer — DL News
• Crypto Industry Groups Sue SEC Over Expanded ‘Dealer’ Definition — Milk Road
• Around-the-Clock NYSE Trading Could ‘Boost Everything’ — Including Crypto — Unchained
• Venezuela State Oil Company Turns To Tether (USDT) Amid U.S. Sanctions — Milk Road
• I’m an economist who invests in Bitcoin as insurance against the dollar — DL News

Tom Carreras is a markets correspondent at DL News. Got a tip about Bitcoin and options? Reach out at tcarreras@dlnews.com