Bitcoin Market Could Heat Up as BTC Price Approaches $90K
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Bitcoin's price approach to $90,000 could trigger significant market volatility due to options market makers' hedging strategies. Market makers with 'short gamma' positions will need to buy and sell strategically to maintain market neutrality, potentially causing price fluctuations. The quarterly options settlement on Friday is expected to influence these market dynamics.
March 26, 2025 | 12:30 pm
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Options market makers' hedging behaviors suggest potential price fluctuations as Bitcoin approaches the $90,000 level, with a higher likelihood of upward movement.
Market makers' short gamma positions at $90,000 will require active buying and selling to maintain market neutrality, which could amplify price movements. The quarterly options settlement increases the likelihood of price volatility.
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