Share this article
Growing Demand for Bitcoin $80K and $90K Puts Signals Caution Ahead of Jobs Data
The demand for puts shows persistent caution ahead of the nonfarm payrolls report.
Updated Feb 7, 2025, 11:21 a.m. Published Feb 7, 2025, 9:41 a.m.
Make us preferred on Google
What to know:
Some crypto traders are snapping up bitcoin (BTC) put options, or the right to sell the largest cryptocurrency at a predetermined price, in the run-up to the pivotal U.S. nonfarm payrolls report, according to options market activity tracked by Singapore-based QCP Capital.
Traders buy puts when anticipating a drop in the underlying asset's price, currently around $97,000. The demand for puts at as low as $80,000 reflects cautious sentiment in the market and is a sign these buyers may be worried that better-than-estimated jobs data will dent the case for Federal Reserve interest-rate cuts and trigger a slide in the BTC price.
"As we head into tonight’s non-farm payroll report, market sentiment remains cautious. The desk continues to observe interest in BTC 28FEB25 80K puts and BTC 21FEB25 90K puts, reflecting persistent caution despite the skew still favoring calls," QCP Capital said in a Telegram broadcast.
The U.S. Bureau of Labor Statistics is expected to say nonfarm payrolls grew by 170,000 in January. The report is due at 8:30 a.m. ET (13:30 UTC).
More For You
More For You
What next for XRP as volatility sinks to 2024 lows
Technical traders see a compression setup, with $1.39 as key support and $1.44 as near-term resistance that could open a move toward $1.50 to $1.62 if reclaimed.
What to know:
- XRP is consolidating around $1.42 as volatility falls to levels last seen before a major 2024 rally, prompting speculation that the current downtrend may be nearing exhaustion.
- Technical traders see a compression setup, with $1.39 as key support and $1.44 as near-term resistance that could open a move toward $1.50 to $1.62 if reclaimed.
- With volatility near prior cycle lows, analysts say the timing and direction of the next breakout will likely hinge on how long this low-volatility base-building phase can persist.
Top Stories
