The Bitcoin options market is showing signs of caution as investors anticipate the cryptocurrency to remain within a narrow price range. Following a significant decline in the fourth quarter that wiped out over $1 trillion in market value, traders have adopted a more defensive stance. Over the weekend, Bitcoin's price fell by 4.4% to $88,135, breaking below the $100,000-$80,000 range it had held for three weeks. Data from Deribit via Coinbase indicates a preference for short-term options, with open interest in these contracts surpassing long-term ones. This trend suggests that investors are selling options to earn premium income, expecting low volatility in the near term. Despite this, there is still strong demand for long-term options, indicating potential for significant price movements in the future, according to Wintermute strategist Jasper De Maere.