BlackRock ETF Options Sales Surpass $425 Million on First Day

As a seasoned crypto investor with a knack for spotting trends and navigating market volatility, I must admit, the recent surge in options trading for Bitcoin ETFs has piqued my interest. The sheer volume of bullish bets on BlackRock’s IBIT is truly astounding – over $6 million wagering that Bitcoin will double in a month!


The Options Clearing Corporation (OCC) has given its approval for options trading on the Bitcoin Exchange-Traded Fund (ETF), and this fresh market sector is experiencing a significant surge. On a single day, BlackRock’s IBIT ETF recorded over $425 million in options trades.

Investors are extremely optimistic about Bitcoin’s future value, as indicated by more than six million dollars wagered on the cryptocurrency doubling its worth within a month.

BlackRock’s Bitcoin ETF Options

Following the green light from the OCC on options trading for Bitcoin ETFs, this fresh investment avenue has flourished significantly. For instance, Grayscale has already submitted an application for a new covered call option for their Bitcoin ETF. Interestingly, Eric Balchunas, an analyst at Bloomberg ETF, suggests that the primary beneficiary of this development could be BlackRock’s IBIT.

According to Balchunus, there’s been a significant amount of options trading volume on IBIT – around a massive number for Day One. Here’s a list showing the contracts ranked by volume, with most being calls. This strongly suggests optimism, particularly the December 20 C100, which essentially means that someone is wagering that the price of Bitcoin will nearly double within the next month.

The total value of Bitcoin options trades currently exceeds $425 million and continues to grow, as more money flows into these transactions. While these figures are already significant, it’s worth noting that according to Balchunas, the Put Call ratio stands at 0.17. This means that there are far more bullish predictions (Call options) than bearish ones (Put options), indicating that traders are heavily betting on Bitcoin’s price increase.

Approaching the afternoon, IBIT’s overall trading volume surpassed the $3 billion mark – a figure that a week ago would have been considered very impressive, with $1 billion already being a robust achievement.

These trade options have significantly boosted the top Bitcoin ETF, while competitors such as Grayscale are just beginning to make their entrance in the market. (paraphrased)

Simultaneously, Bitcoin Exchange-Traded Funds (ETFs) are also progressing well. As per data from Farside Investors, on Tuesday, these Bitcoin ETFs attracted an inflow of approximately $816.4 million as the price of Bitcoin reached a new peak.

The recent large-scale purchases have simply made it easier for BlackRock to keep investing in Bitcoin. As per data provided by ETF analyst Shaun Edmondson, American issuers collectively bought approximately 2,800 Bitcoins from Monday onwards.

“BlackRock acquired more than a thousand Bitcoins on its own, while ETF providers collectively hold more than 5% of all existing Bitcoins.

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2024-11-20 08:19