Bitcoin News Today: Bitcoin Traders Brace for $12B Options Expiry at $110K–$115K Put Bias

Generated by AI AgentCoin World
Tuesday, Aug 26, 2025 4:21 pm ET1min read
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Aime RobotAime Summary

- Bitcoin traders face a $12B options expiry on August 29, with heavy put options near $110K–$115K signaling bearish hedging.

- A 0.88 Put/Call ratio and $116K Max Pain level highlight cautious positioning, while a whale's BTC-to-ETH swap added short-term volatility.

- $110.8K remains a critical support level; breaking it could trigger prolonged weakness, as seen during Q1's selloff.

- Upcoming macro data (unemployment claims, Core PCE) and potential Fed rate cuts in September may shape Q3's market trajectory.

- QCP Capital expects institutional buying of dips despite near-term bearish bias, citing July's 80,000 BTC absorption as a precedent.

Bitcoin traders are navigating a high-stakes week as nearly $12 billion worth of

Bitcoin
options is set to expire on August 29, prompting widespread caution ahead of the event. Deribit, a leading options trading platform, noted that positioning near the $110K–$115K range is heavily skewed toward put options, indicating active hedging against potential downside risks. This “put-heavy” stance suggests a strong demand for downside protection among traders [1].

At press time, the Put/Call ratio stood at 0.88, below 1, showing that while caution is present, bullish bets remain somewhat dominant. The calculated Max Pain level—where most options expire worthless—was set at $116K, a level historically observed to act as a price magnet, potentially influencing short-term price behavior [1].

Traders have also been preparing for a possible drop to $106K or $108K, with Bitcoin briefly touching $108.6K intraday on August 26. This move confirmed that hedging strategies were already in place. On the same day, a major whale offloaded a significant amount of Bitcoin for

Ethereum
, adding to the short-term volatility [1].

On-chain analytics firm Glassnode highlighted that $110.8K represents the average cost basis for Bitcoin holders who accumulated the asset between May and July. This level has historically served as a critical support, and breaking below it could signal a broader weakening in the near term. During the Q1 selloff, Bitcoin fell beneath this level and remained weak until late April, underscoring its importance in the current market environment [1].

Adding to the uncertainty, key macroeconomic data is set for release this week. The August 28 publication of initial unemployment claims and the Core PCE inflation data on August 29 are expected to influence investor sentiment and price action. These figures could shape the market's trajectory for the remainder of the third quarter, particularly in light of expectations for a Federal Reserve rate cut in September [1].

Despite the bearish positioning, QCP Capital has maintained a bullish outlook on Bitcoin for the near term. The firm noted that while Ethereum appears to be gaining momentum in the short term, its long-term structural view on Bitcoin remains unchanged. QCP Capital expects institutional investors to selectively buy dips, as was seen in July when approximately 80,000 BTC of legacy supply was absorbed by the market [1].

Source:

[1] Will Bitcoin’s $12B Options expiry impact September’s price action? (https://ambcrypto.com/will-bitcoins-12b-options-expiry-shape-septembers-price-action/)