Bit Digital (BTBT) Surges 6.8% on Ethereum Holdings Expansion and Earnings Optimism – What’s Next for the Digital Currency Play?

Summary
• Bit Digital’s (BTBT) stock price jumps 6.79% intraday to $3.2999, driven by a $532.5M Ethereum holdings update and Q2 earnings turnaround.
• Technicals show RSI at 85.54 (overbought), MACD above signal line, and Bollinger Bands tightening near $3.29.
• Options activity intensifies, with 1451 contracts traded for the BTBT20251017C3.5 call option (strike: $3.5, IV: 119.16%).
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Bit Digital’s sharp intraday rally reflects a confluence of bullish catalysts: a strategic shift to Ethereum staking, Q2 profitability, and surging options volume. The stock’s 6.8% surge has pushed it closer to its 52-week high of $5.74, reigniting investor interest in its crypto-centric business model.

Ethereum Holdings and Earnings Fuel BTBT’s Bullish Momentum
Bit Digital’s 6.79% intraday surge is directly tied to its August 2025 report of $532.5M in Ethereum holdings and a Q2 earnings turnaround. The company’s strategic pivot to Ethereum staking—highlighted in its recent earnings call—has positioned it to capitalize on rising ETH prices. Additionally, Q2 net income of $15M, driven by digital asset gains, has bolstered investor confidence. The stock’s rally aligns with broader crypto market optimism, as Ethereum’s recent price action and institutional adoption trends reinforce BTBT’s thesis.

Options Playbook: Leveraging BTBT’s Bullish Technicals and Volatility
• RSI: 85.54 (overbought), MACD: 0.0648 (bullish), 200-day MA: $2.81 (below price), Bollinger Bands: $3.29 (tightening).
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Bit Digital’s technicals suggest a short-term bullish bias, with key resistance at $3.5 (200D MA) and support at $2.82 (middle Bollinger Band). The RSI’s overbought condition and MACD’s positive divergence indicate momentum, but caution is warranted as the stock nears its 52-week high. For leveraged exposure, consider the BTBT20251017C3.5 call option (strike: $3.5, IV: 119.16%, delta: 0.468, gamma: 0.400) and BTBT20251017C3 (strike: $3, IV: 112.00%, delta: 0.667, gamma: 0.389).
• BTBT20251017C3.5: Code: BTBT20251017C3.5, Type: Call, Strike: $3.5, Expiry: 2025-10-17, IV: 119.16% (high volatility), Leverage: 10.83% (high), Delta: 0.468 (moderate sensitivity), Theta: -0.0103 (moderate time decay), Gamma: 0.400 (high sensitivity to price swings), Turnover: $44,748 (liquid).
• BTBT20251017C3: Code: BTBT20251017C3, Type: Call, Strike: $3, Expiry: 2025-10-17, IV: 112.00% (high volatility), Leverage: 6.50% (moderate), Delta: 0.667 (high sensitivity), Theta: -0.0099 (moderate time decay), Gamma: 0.389 (high sensitivity to price swings), Turnover: $15,762 (liquid).
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BTBT20251017C3.5 offers high leverage and gamma, ideal for a 5% upside scenario (target: $3.46), with a projected payoff of $0.01 per share. BTBT20251017C3 provides a safer delta for a breakout above $3.14 (today’s open). Aggressive bulls may consider BTBT20251017C3.5 into a test of $3.5 resistance, while conservative traders could use BTBT20251017C3 for a directional bet.

Backtest Bit Digital Stock Performance
I have completed the event-based backtest you requested.Key findings:• 119 separate 7 %+ up-days were identified for BTBT since 2022. • Over the 30-day window that followed those surges, BTBT’s average excess return versus its benchmark was negative and not statistically significant on every single day. • Win-rate (percentage of events with positive return) hovered around 40–50 %, again showing no significant edge.I have prepared an interactive report so you can explore every metric, cumulative curves and individual event traces.```jgy-json-canvas{ "show_type": "jgyNewLowcode", "config": { "type": "iwencai/stockBackTesting", "version": "0.0.2", "url": "https://cdn.ainvest.com/frontResources/s/aime-frontend-foiegras-outer/stockBackTesting/0.0.2/stockBackTesting@0.0.2index.js" }, "data": { "datas": [ { "Backtest Object":

BTBT’s Bull Run: A Short-Term Play on Ethereum Optimism
Bit Digital’s 6.8% rally is a short-term catalyst-driven move, fueled by Ethereum staking gains and Q2 profitability. While technicals suggest a bullish bias, the overbought RSI and proximity to the 52-week high signal caution. Investors should monitor the $3.5 resistance level and the sector leader MicroStrategy (MSTR), which is up 0.99% today. A break above $3.5 could extend the rally, but a pullback to the 200-day MA at $2.81 would test near-term resolve. For now, the BTBT20251017C3.5 call option offers a high-gamma play on continued momentum. Watch for a $3.5 breakout or a reversal below $3.14 (today’s open) to dictate next steps.