Trader Bets $2 Million on Ethereum 30% Price Surge by June

A trader has made a significant bet on the price of Ethereum, purchasing call options with a premium exceeding $2 million. The options, bought on a cryptocurrency options trading platform, are set to expire at the end of June. The trader acquired 61,000 Ethereum call options with strike prices of $3,200 and $3,400.

This move indicates a bullish outlook on Ethereum's price trajectory. The purchase of the $3,200 call option suggests that the trader anticipates Ethereum's price to rise from its current level of $2,460 to over $3,200 by the end of the month. The acquisition of the $3,400 call option further underscores the trader's confidence, expecting the price to surpass $3,400. Essentially, the trader is betting on a price increase of over 30% within just three weeks.

Call options provide the buyer with the right, but not the obligation, to purchase the underlying asset at a predetermined price in the future. Buyers of call options typically hold a bullish view on the market and are willing to pay a premium for the potential of significant upside gains. In this instance, the $2 million premium represents the maximum loss the buyer could incur if the market does not perform as expected.