Bitcoin ETF Options

BY LICIA LESLIE

April 20, 2024

Hey Traders,

With the long-awaited halving of Bitcoin (Ticker: BTCUSD) almost out of the way (this was written Friday evening with two hours to go), we can look forward to trading options on those newly listed ETFs.

That is as long as the United States Securities and Exchange Commission or SEC can get their act together and make the right decision.

It took them months to approve the ten Bitcoin ETFs before finally approving them on the final day.

Now the SEC has used the legal extra 45 days to postpone approval of requests for options listings from the exchanges that would like to offer the options trading.

The exchanges that have applied are the Chicago Board Options Exchange, the Miami International Securities Exchange, and the Nasdaq.

The most traded higher volume Bitcoin ETFs are Grayscale Bitcoin Trust (Ticker: GBTC), iShares Bitcoin Trust (Ticker: IBIT) and Wise Origin Bitcoin Trust by Fidelity (Ticker: FBTC).

There are options already trading on ProShares Bitcoin Stratege ETF (Ticker: BITO) which does not directly invest in Bitcoin but in Bitcoin cash settled front month futures.

Let’s take a look at the BTCUSD chart:

After that pretty quick selloff, BTCUSD looks to have found some footing. (Reminder this is two hours before the halving).

Resistance comes in at $68,722 and support lies at the most recent lows just below $60,000.

The Relative Strength Index (RSI) has turned up and the Moving Average Convergence and Divergence (MACD) indicator is just beginning to curl up, showing some bullishness.

SEC … we are waiting …

Also, coming soon, end of May, will be Etherum (TIcker: ETHUSD) ETFs.

It isn’t too late for you to join us here at Option Pit and our Deep Market Crypto strategy.

Let’s trade!

Thanks for Reading … See You Next Tuesday,

Licia Leslie