Bitcoin traders are increasingly hedging against potential downturns as the broader financial markets show signs of retreat before crucial U.S. economic data is released. The options market indicates a defensive posture, especially among those seeking protective put options, which allow the sale of Bitcoin at a predetermined price. Nick Forster from Derive.xyz highlighted a rise in demand for these options, particularly in the $75,000 to $70,000 range, signaling traders' reluctance to bet on upward trends. Conversely, interest in call options has diminished, implying a lack of urgency to forecast significant price increases. Recent trading showed Bitcoin's price rebound to $82,375, despite broader market declines including the drop of major indices like the S&P 500 and the Dow Jones. This defensive sentiment is paralleled by an uncertain economic outlook, exacerbated by upcoming inflation data that could impact asset confidence, including cryptocurrencies.

Source 🔗