BTC's price bounce fails to convince options traders: Crypto Daybook Americas

CoinDesk

by Omkar Godbole

February 26, 2026

AI-Generated Deep Dive Summary

Bitcoin's recent price rally has sparked mixed reactions in the cryptocurrency space, with social media users expressing optimism about a potential bottom in the market. However, options market data suggests that professional traders remain cautious, with a stronger focus on downside protection rather than bullish bets. According to Deribit's head of retail, Sidrah Fariq, the skew in options pricing indicates that traders are still wary of potential price drops, with significant open interest in $60,000 puts compared to call options at higher strikes like $90,000. This bearish positioning highlights a broader skepticism among market participants. Despite the rally, dealer positioning has shifted slightly positive between $60,000 and $70,000, which could lead to market stabilization or range-bound trading as dealers adjust their strategies. Analysts are watching whether Bitcoin can break above the $74,000-$75,000 range to confirm a renewed uptrend. While Bitcoin is currently up 4.6% at around $68,500, altcoins like Ether, XRP, and Solana have seen even stronger gains, with broader market sentiment appearing more optimistic. The options market's bearish tone contrasts with the social media buzz surrounding Bitcoin's bounce. The high level of open interest in puts suggests that traders are prepared for a potential correction, even as the rally has boosted confidence among some retail participants. This divergence between retail optimism and institutional caution underscores the challenges of reading market sentiment in the crypto space. The broader market context also includes traditional financial indicators, such as U.S. jobless claims and Federal Reserve testimony, which could influence investor sentiment. Meanwhile, altcoins and derivatives are showing strong performance, with Ether leading the way alongside other cryptocurrencies like XRP and Solana. This mixed bag of market activity suggests that while Bitcoin's rally has sparked some optimism, caution remains prevalent among more experienced traders. For crypto investors, this dynamic highlights the importance of balancing short-term price movements with long-term trends. The options market data serves as a reminder that even in the midst of a rally, significant risks remain, and professional traders are hedging against potential downside scenarios. As the market continues to evolve, staying attuned to both retail sentiment and institutional positioning will be key for navigating

Verticals

cryptofinance

Originally published on CoinDesk on 2/26/2026