Forget about betting on Bitcoin to the moon; the smart money lately is hedging against a serious fall. Option traders on Deribit have made the $80,000 Bitcoin put the most popular play, stacking up 10,278 contracts representing a hefty $864.26 million in notional open interest, according to data from Amberdata.
This marks a significant shift from early January when the $120,000 call option was the favorite, attracting nearly $1.5 billion in open interest. Even last month, the $100,000 call held the crown as Deribit’s most popular option.
This repositioning suggests traders are rethinking their upside hopes amid a shaky market and ongoing economic uncertainties. Bitcoin took an 11.66% dive in the first quarter, briefly dropping below $80,000 as President Trump’s tariff announcements sent tremors through Wall Street. Disappointment over the U.S. strategic reserve’s inaction on fresh purchases also dampened prices.
Adding fuel to the fire, Trump is expected to announce sweeping reciprocal tariffs on Wednesday, potentially igniting a full-scale trade war. This looming economic uncertainty is why Bitcoin traders are now scrambling for downside protection.