Why Bitcoin keeps snapping back to $70k — and the $13B options “magnet” behind it
Bitcoin's rebound to $70k despite macro shocks is driven by high options open interest acting as a price magnet.Summary
Bitcoin's recent rebound to the $70,000 zone, despite severe macro shocks like disruptions in the Strait of Hormuz causing oil price spikes, is explained by two main factors. The first is the macro shock itself, where Bitcoin initially sells off quickly due to its liquidity, acting as a release valve. The second, and more crucial factor for the rebound, is derivatives positioning, specifically options contracts. The $70,000 to $75,000 range has dense open interest and peak gamma (high hedging sensitivity), creating a gravitational 'magnet' effect that pulls the price back toward these crowded strike zones after initial sell-offs. Furthermore, a massive $13.27 billion options expiry on March 27 concentrates trading activity, intensifying this magnetic effect as the date approaches. Thus, oil volatility supplies the initial price movement, but options positioning dictates where the price settles.
(Source：CryptoSlate)