QCP Capital, Singapore-based crypto trading firm has observed growing optimism in the Bitcoin (BTC) options market, with “big buyers” purchasing BTC call options at strike prices of $85,000, $100,000, and $120,000 for March 2025, signaling a bullish outlook for early 2025. The firm shared this analysis on its official Telegram channel, noting that while near-term market sentiment remains cautious due to upcoming events like the U.S. presidential debate between Donald Trump and Kamala Harris, and the release of Consumer Price Index (CPI) data, long-term prospects for BTC are looking positive.
QCP Capital pointed out that this week’s heightened volatility is largely driven by political and economic factors, with risk reversals for both BTC and ETH skewed toward puts through October, reflecting market concerns about potential downside risks. However, the significant buying interest in long-dated BTC call options indicates that traders are betting on a substantial price increase by March 2025.
Near-Term Market Caution Amid Economic and Political Uncertainty
In the short term, the crypto market remains cautious, with traders closely monitoring the U.S. presidential debate and the upcoming CPI data release. These events are expected to introduce volatility, especially given their potential to impact broader economic policies and inflationary pressures, which in turn could affect cryptocurrency prices.
Risk reversals—an options strategy measuring the difference between call and put option prices—are currently skewed toward puts, signaling that market participants are concerned about potential price declines through October. This reflects a defensive posture, as traders brace for possible downside amid the uncertain economic and political landscape.
Bullish Sentiment for Early 2025: Large BTC Call Option Purchases
Despite the cautious near-term outlook, QCP Capital highlighted a more optimistic long-term sentiment, as evidenced by significant purchases of BTC call options expiring in March 2025. These large bets at strike prices of $85,000, $100,000, and $120,000 suggest that institutional and large-scale investors are positioning themselves for a bullish BTC price trajectory in early 2025.
This activity in the options market indicates confidence that Bitcoin could reach new all-time highs in the coming years, driven by factors such as the 2024 halving event, increased institutional adoption, and a favorable macroeconomic environment.
Conclusion
While the near-term outlook for Bitcoin and the broader cryptocurrency market remains cautious due to political and economic uncertainties, QCP Capital’s analysis suggests a bullish sentiment for early 2025. Significant purchases of long-dated BTC call options at high strike prices signal that major investors are anticipating a substantial price rally by March 2025, with Bitcoin potentially reaching as high as $120,000.
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