Bitcoin options open interest has surged to $1.45 billion, with traders betting on a $100,000 price target by January. Data from Deribit shows that $828 million of these call options are set to mature this month, indicating significant market activity. In the past 24 hours, traders have added 420 BTC worth of exposure to these contracts, reflecting growing interest.
The market dynamics are influenced by a potential gamma squeeze, where dealers hedging their positions may drive Bitcoin's price higher. This situation is compounded by a high funding rate for Bitcoin perpetual futures on Deribit, exceeding 30% annualized, suggesting extreme leverage and bullish sentiment. The convergence of these factors could lead to significant price movements as the January expiry approaches.
Bitcoin Options Open Interest Hits $1.45B as Traders Eye $100K Target
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