Bitcoin options traders are making bold bets on a massive rally to $110,000 by March. According to Amberdata, February saw a surge in call options at this ambitious price level, reflecting growing market confidence. However, analysts caution that several factors could slow BTC’s climb, including range-bound trading, weak ETF demand, and market hesitation.
#Bitcoin options traders chase $110K, but roadblocks lie ahead https://t.co/gl6yNgMFuM
— AMBCrypto (@CryptoAmb) February 18, 2025
BTC Trapped in a Tight Range
Despite bullish bets, Bitcoin remains stuck in a narrow price range. QCP Capital, a leading options trading desk, highlighted widespread market hesitation. Many traders are avoiding long-term bullish positions, instead favoring short-term strategies such as volatility selling and range-bound trading. This cautious sentiment mirrors BTC’s price behavior during mid-2023, when similar uncertainty kept prices stagnant.
Adding to concerns, technical indicators suggest potential weakness. Analyst Mathew Hyland pointed out a bearish divergence in Bitcoin dominance, signaling a declining market share. When capital shifts into other assets, BTC’s momentum often weakens, making it harder to sustain a rally.
ETF Outflows Add More Pressure
Despite optimism from options traders, Bitcoin has struggled to break key resistance levels. The cryptocurrency has hovered around $95,000 for weeks, lacking clear signs of an imminent breakout. One major challenge is the outflow of institutional funds from Bitcoin exchange-traded funds (ETFs).
U.S.-based spot Bitcoin ETFs recorded a staggering $585.65 million in withdrawals last week, dampening market sentiment. Weak institutional demand could stall further gains, making it difficult for BTC to surpass the $100,000 mark in the short term.
Will Bulls Prevail?
The enthusiasm for a $110K price target underscores strong belief in Bitcoin’s long-term potential, but significant obstacles remain. Resistance at key levels, declining ETF inflows, and cautious trading strategies could prevent a swift breakout. While options traders are positioning for a surge, the next few weeks will determine whether bulls can overcome these headwinds or if BTC remains range-bound.
Also Read: Bitcoin Surges to $97K as Trump’s Ethereum Accumulation Sparks Altcoin Rally
For now, the market watches closely, waiting for the next major move. Will Bitcoin defy the odds and rally to new highs, or will bearish pressures keep prices in check?
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of CoinBrief.io. Before making any investment decisions, you should always conduct your own research. Coin Brief is not responsible for any financial losses.
