A bold effort on Blackrock’s spot Bitcoin
ETF (Ibit) crossed the tape on Tuesday, hinting at expectations of a “Moonshot” or fast price increase in the world’s largest listed fund after the end of the month.
On Tuesday, a trader picked up 3,000 contracts in Ibit $ 77 Strike Call Option, which expired on June 27, according to Data Source Barchart.com. The trader paid a total premium of $ 39,000 for the bullish exposure.
A call opportunity gives the buyer the right, but not the obligation, to buy the underlying asset at a predetermined price of or before a later date. A call buyer is implicit Bullish on the market.
The $ 77 strike call represents an effort for prices to cross this level before the expiry. In other words, the Bitcoin tracking ETF, which closed on Tuesday at $ 60.40, is expected to collect with over 28% by June 27.
Pseudonymous observer Endgame-Macro called it a high conviction game on a bullish breakout.
“With Ibit is about $ 60.40 and $ 77 strike sitting about 28% out of the money [above the spot price]This trader either predicts a larger catalyst as an increase in ETF flow, a macro -turning point or a regulatory green town, or they uncover a much larger directional exposure, “Endgame -Macro said.
“Whether it’s a calculated moonshot or part of a wider positioning strategy, one thing is clear: they expect serious volatility by June 27,” Endgame -Macro added.
Bull mood returns
Overall, the mood in the market for Ibit options Bullish changed on Tuesday, where one-year-old put-call was negative, according to Data Source Market Chameleon.
The negative shift indicates calls that offer asymmetrical upward exposure, again acting relatively more expensive than sets,
The Renewed Bullish shift follows a short period from last week when it is set with a prize for call, reflecting downward fear.
