Gate News reports that Bitcoin prices have recently oscillated between $65,000 and $75,000, with the market lacking a clear direction. In addition to geopolitical conflicts and the macro interest rate environment, the options strategies of institutional investors are considered a significant factor limiting market breakthroughs.
Since mid-February 2026, Bitcoin has made multiple attempts to breach the $70,000 mark without success. On one hand, the demand for safe-haven assets due to the Middle East situation provides bottom support for prices, making it difficult to fall below $65,000; on the other hand, the rising U.S. Treasury yields weaken the appeal of risk assets and suppress upward potential.
A deeper reason comes from the derivatives market. Tesseract CEO James Harris points out that institutional capital has been continuously selling high strike call options in the first quarter, generating additional income through the collection of premiums. This “covered call” strategy is based on spot holdings, allowing investors to achieve stable returns even in a sideways market.
This operation transfers significant risk to market makers. As market makers hold long gamma positions, they need to buy when prices drop and sell when they rise to maintain risk neutrality. This hedging behavior inadvertently creates a “buy low, sell high” mechanism, thereby compressing the price volatility range and keeping Bitcoin in a long-term oscillation structure.
Market data also confirms this phenomenon. The Bitcoin 30-day implied volatility index (BVIV) has recently dropped to around 56%, contrasting with the rising volatility in stocks and commodities, indicating that market fluctuations are being artificially suppressed.
Currently, Bitcoin’s trend is influenced not only by the macro environment but also deeply tied to the derivatives structure. When yield strategies dominate capital behavior, prices may continue to maintain a range-bound oscillation. Whether it can break through the key range in the future will depend on changes in capital allocation and whether volatility is released again. (CoinDesk)
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Grayscale Research Head: Bitcoin Rally Above $76K Could Signal Start of Bull Market Phase One
Grayscale research head Zach Pandl analyzes Bitcoin's rebound from a February low, using the realized price metric to show recent buyers at breakeven and hint at an early bull phase, with a reported bottom around $65k-$70k.
Grayscale’s Pandl: Bitcoin hit ~63k in Feb, rose to ~76k; realized price ~74k shows recent buyers breakeven, hinting at early bull phase and a bottom around 65-70k.
GateNews1m ago
Scammers Impersonating Iranian Officials Demand Bitcoin and USDT from Ships in Strait of Hormuz
Gate News message, April 21 — Scammers posing as Iranian officials are demanding Bitcoin (BTC) and Tether (USDT) as transit fees from ships in the Strait of Hormuz, according to a warning from MARISKS, a Greece-based maritime risk management firm. The scheme falsely promises "safe transit
GateNews16m ago
Bitcoin, Ethereum and Solana ETFs Record Positive Net Inflows on April 21
Gate News message, according to the April 21 update, Bitcoin ETFs recorded a 1-day net inflow of 3,599 BTC (approximately $272.59 million) and a 7-day net inflow of 18,914 BTC (approximately $1.43 billion). Ethereum ETFs showed a 1-day net inflow of 34,380 ETH (approximately $79.25 million) and a 7-
GateNews24m ago
Fidelity and Capital Group Become Strive's Two Largest Shareholders
Gate News message, April 21 — Fidelity and Capital Group have become the two largest shareholders of Strive, a Bitcoin treasury company, according to CEO Cole Macro. The two firms collectively hold ASST shares valued at approximately $152.8 million, as confirmed by the company's latest
GateNews32m ago
Charles Schwab to Launch Bitcoin and Ethereum Trading, Releases Educational Content on BTC
Charles Schwab plans to expand into crypto, offering Bitcoin education and direct BTC/ETH trading, allowing customers to buy Bitcoin in accounts; analysts call it a major mainstreaming moment.
Schwab announces an expansion into cryptocurrency with Bitcoin education and direct BTC/ETH trading, enabling clients to hold Bitcoin in their accounts; analysts view this as a turning point toward mainstream adoption.
GateNews57m ago
U.S. Indo-Pacific Commander Highlights Bitcoin's Potential as 'Computer Science Tool'
Gate News message, April 21 — Admiral Samuel Paparo, commander of U.S. Indo-Pacific Command, testified before the Senate that Bitcoin demonstrates significant potential as a computer science tool and holds value as an instrument of power projection. Paparo stated that Bitcoin is a tangible reality w
GateNews1h ago
