Despite recent bullish signals, Bitcoin (BTC) traders are keeping put options at a premium across all maturities, signaling continued caution, according to Deribit CEO Luuk Strijers.
Market Context
The U.S. Federal Reserve recently cut interest rates by 25 basis points and indicated that a further 50 basis points of easing may come before year-end. At the same time, the SEC introduced a streamlined approval process for crypto ETFs, which is expected to accelerate market entry for new products.
Even with these positive developments, Deribit’s DVOL index — tracking 30-day implied volatility — remains low at approximately 24%, the lowest in two years. Typically, in bullish markets, call options (bets on price increases) trade at higher premiums than puts (insurance against declines). Yet, at Deribit, puts continue to hold a premium, reflecting persistent caution.
Options Skew Highlights Cautious Sentiment
“Skew across all time frames remains flat to negative,” Strijers explained. “Traders continue to buy puts to hedge downside exposure, while call overwriting suppresses upward pressure.”
Options skew measures the difference in implied volatility between calls and puts. Negative skew indicates bearish sentiment, while positive skew suggests bullish expectations. Currently, 7-, 30-, 60-, and 90-day skews are slightly negative, with the 180-day skew neutral, according to Amberdata, pointing to ongoing concerns about a potential BTC correction.
Investors may be cautious that the Fed’s easing has already been priced in, and that a weakening macroeconomic outlook could lower demand for riskier assets like bitcoin.
“Following the Fed’s decision, some earlier optimism has faded,” Strijers said. “The market appears to be waiting for the next catalyst — whether macro or crypto-specific — to break the current balance between caution and optimism.”
Maturity in BTC Options Market
Sidrah Fariq, Deribit’s global head of retail sales and business development, noted that the continued put bias reflects a maturing market.
“BTC options are behaving more like S&P index options — a sign of sophistication, but also of caution,” Fariq said.
Additionally, traders are increasingly using covered calls, selling call options against spot BTC holdings to generate premiums. While this strategy provides income, it can cap upside potential, particularly for longer-dated options. Covered calls have become a popular approach among BTC, ETH, and XRP traders, further reinforcing the prevailing put-heavy market stance.
