Bitcoin $60,000 put option leads as market sentiment turns bearish

The options market is experiencing a significant shift as the $60,000 bitcoin put option becomes the most popular bet on Deribit, with a notional open interest of 1.17 billion dollars. Traders utilize puts to hedge against potential market declines. Bitcoin recently fell below $60,000 but has since recovered to over $63,000. Previously, call options at $70,000 and $72,000 were favored, each with a notional open interest of 2.5 billion dollars, driven by expectations of a price increase following the U.S. Federal Reserve's interest-rate decision. However, those bullish bets were closed after the anticipated rise did not materialize, leading to a drop in open interest for the $70,000 call to 943 million dollars and the $72,000 call to 888 million dollars. Historically, July has shown a median return of 8.61%, with bitcoin rising 8.9% this month. However, a positive July is often followed by a negative August, which has a median return of -7.51%. This trend suggests a bearish outlook for bitcoin as August approaches.

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