Bitcoin News Today: Bitcoin Traders Hedge Ahead of Key U.S. CPI Report

Bitcoin traders are increasingly hedging their positions ahead of this week’s U.S. inflation data, with a strong emphasis on downside protection through the purchase of put options. According to on-chain data from Derive, the $95,000 and $100,000 puts accounted for 10% of all Bitcoin options traded last week, with these strikes representing nearly 40% of the open interest for August expiration contracts [1]. This suggests a widespread expectation of volatility and a potential pullback in the event of a hotter-than-expected CPI report.

The recent price action has reflected this cautious positioning, as Bitcoin’s weekend rally stalled on Monday amid heavy profit-taking. Both perpetual and spot market data showed a sharp drop in open interest and cumulative volume delta, signaling that traders are locking in gains and reducing exposure ahead of the key macroeconomic event [1]. A decline in open interest typically indicates traders are closing positions, while a drop in cumulative volume delta points to selling pressure from longs [1].

The U.S. CPI report due Tuesday is expected to have a significant impact on the direction of Bitcoin, given its influence on expectations around Federal Reserve monetary policy. A cooler-than-anticipated inflation reading could bolster the case for a more dovish stance from the Fed, which may in turn ease borrowing costs and support broader market liquidity. Conversely, a hotter report could stall the recent rally, with Singapore-based trading firm QCP warning that such a scenario might trigger a pullback in Bitcoin prices [1].

Market participants are also factoring in the possibility of policy delays by Fed Chair Jerome Powell, particularly if the inflation print surprises on the upside. According to QCP, traders are hedging event risk with put options to protect against a downward surprise in Bitcoin’s price [1]. The firm also noted that while profit-taking ahead of the CPI report is likely, the market’s resilience to recent large sell-offs suggests a structurally bullish outlook remains intact [1].

Beyond Bitcoin, elevated open interest in Ethereum options also signals growing macroeconomic event trading activity, with traders across the crypto market preparing for potential volatility [2]. Over the past week, Bitcoin has shown strength, closing near all-time highs amid speculative positioning and favorable macroeconomic trends [4]. However, concerns about thin liquidity and whether the rally can maintain momentum remain, with traders pulling back to reassess risk ahead of the inflation data [6].

The recent price action has seen Bitcoin reach as high as $122,000, before settling near $118,000 [5]. Analysts have highlighted the importance of the upcoming CPI report in determining whether Bitcoin continues its upward trend or faces a correction toward $110,000 [9]. Technical indicators also point to a critical resistance level near $133,000, although this remains conditional on broader macroeconomic developments [8].

Overall, the market appears to be in a state of cautious optimism, with traders closely watching for signals that might either validate or disrupt the current bullish momentum. As the key inflation data approaches, the balance between risk management and speculative positioning will likely shape Bitcoin’s next move [5].

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Source: [1] How Traders Are Positioning Bitcoin for This Week's US ... (https://decrypt.co/334676/traders-positioning-bitcoin-this-weeks-us-inflation-print)

[2] Elevated BTC and ETH options open interest signals ... (https://www.theblock.co/post/366313/btc-eth-options-open-interest-cpi)

[3] $57B in Bitcoin and Ethereum Options Signals Big Moves ... (https://www.mitrade.com/insights/news/live-news/article-3-1030622-20250812)

[4] Bitcoin Price Closes in on All-Time High as Traders Await Key ... (https://finance.yahoo.com/news/bitcoin-price-closes-time-high-032752154.html)

[5] Crypto Rallies Into Key Inflation Report as Markets Eye US ... (https://news.bitcoin.com/crypto-rallies-into-key-inflation-report-as-markets-eye-us-cpi-for-next-move/)

[6] Asia Crypto News: BTC's Thin-Liquidity Bounce Raises ... (https://www.coindesk.com/markets/2025/08/12/asia-morning-briefing-bitcoin-s-thin-liquidity-bounce-raises-questions-on-staying-power)

[8] Bitcoin's record run isn't over — new US rules could spark ... (https://gulfnews.com/your-money/cryptocurrency/bitcoins-record-run-isnt-over-new-us-rules-could-spark-next-big-crypto-wave-1.500229831)

[9] Bitfinex Alpha | Macro Determining BTC Price (https://blog.bitfinex.com/bitfinex-alpha/bitfinex-alpha-macro-determining-btc-price/)