Investor Sentiment Wavers as $80K Bitcoin Put Surges in Popularity

Traders Flock to $80K Bitcoin Puts Amid Mounting Market Jitters

Bitcoin’s options market has flipped from euphoria to caution, as traders now rush to hedge against further downside. The $80,000 put option has overtaken all others on Deribit, becoming the most crowded trade, signaling rising bearish sentiment.

Over 10,200 open contracts—worth more than $864 million in notional terms—are tied to this strike, according to Amberdata. That marks a dramatic pivot from just a few months ago, when traders favored aggressive calls at $120,000 and $100,000.

The shift comes as BTC posted an 11.66% loss in Q1, slipping below the $80,000 mark in the process. Traders have grown wary amid escalating global tensions and economic uncertainty—particularly as President Trump prepares to unveil sweeping reciprocal tariffs that could rattle financial markets further.

Analysts say the appetite for protective puts hasn’t been this strong since the 2023 U.S. banking crisis.

“Volatility smiles for BTC have tilted sharply toward out-of-the-money puts,” noted analytics firm Block Scholes. “It’s a clear signal that risk-off sentiment is taking hold.”

While Ethereum has shown a partial rebound in volatility skews, Bitcoin traders appear firmly positioned for stormy weather ahead. With macro headwinds mounting, risk-averse strategies are back in fashion on crypto’s biggest stage.

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