As Bitcoin approaches the $90,000 mark, market makers’ positioning in the options market could significantly impact its volatility. Data from Deribit, tracked by Amberdata, indicates that market makers are currently “short gamma” at the $90,000 strike price. This position requires them to sell when the spot price drops and buy when it rises to maintain a market-neutral stance. Such hedging activities could amplify market fluctuations. Following the quarterly settlement this Friday, the $90,000 strike will continue to have the most negative delta. Griffin Ardern from BloFin Academy noted that the dealer gamma profile of BTC post-expiration will resemble that of the gold-backed PAXG token, suggesting wide price swings.
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