BTC derivatives alert: Massive put buying at $62,000 signals weekend caution
Bitcoin's (BTC) options market on Deribit shows a significant surge in short-term bearish positioning.
Data tracked by Laevitas shows whale-sized buying of bitcoin put options at the $62,000 strike expiring on June 21, that is, three days from now.
A total of 1,750 contracts hit the tape, with buyers paying over $600,000 in premium for the hedge. Laevitas described it as "near-term downside protection in the weekend expiry."
A put option gives the buyer the right, but not the obligation, to sell the underlying asset, in this case, BTC, at a predetermined price on or before the expiration date. The $62,000 strike put expiring on June 21 is essentially a bet that bitcoin’s spot price will be below that level at expiry.