Trader Bets on Volatility in Late March, Buys Long Straddle BTC Options

KuCoinFlash

Release Time:01/07/2026 15:01:41

BTC

$90,798.100.31%

Summary

A trader has implemented an options strategy on Deribit, purchasing a long straddle BTC options combo to benefit from anticipated volatility in late March. The position consists of 660 BTC call options at $120,000 (worth $8.6 million) and 660 BTC put options at $80,000 (worth $15 million), both expiring on March 27, 2026. This options trading move is designed to profit from a significant price movement in either direction. If BTC remains between $80,000 and $120,000 at expiration, the trader will face a maximum loss of $23.6 million in premium.

BlockBeats news: On January 7, according to on-chain analyst Ai Yi (@ai_9684xtpa), a trader is betting on a violent market swing by the end of March. The trader purchased 660 BTC $120,000 call options (approximately $860,000) and 660 BTC $80,000 put options (approximately $1.5 million) on Deribit, both expiring on March 27 of this year.

The trader employed a pure volatility strategy by purchasing a long strangle BTC options combination, betting that BTC's price will experience significant volatility at the options' expiration at the end of March, allowing for profits regardless of whether the price moves up or down. If BTC's price remains in a narrow range or consolidates within the 80,000 to 120,000 USD interval at expiration, the trader will incur a loss, with the maximum potential loss being the entire premium of 2.36 million USD.

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