Bitcoin whale bets $23.7 million on hitting $200,000 by year-end

Despite Bitcoin (BTC) having recently entered a bearish trend, market optimism remains high that Bitcoin could continue its rally through the end of the year. It has emerged that a whale investor has made a massive options bet that Bitcoin will reach $200,000 by year-end.

According to CoinDesk, a cryptocurrency-focused media outlet, as of the 24th (local time), a whale investor bought 3,500 call option contracts with a $140,000 strike price expiring in December via the crypto options exchange Deribit, while simultaneously selling 3,500 call option contracts with a $200,000 strike price expiring at the same time. The loan amount used for these contracts totaled $23.7 million.

This bet is an options strategy known as a 'bull call spread.' In a bull call spread, an investor buys call options at a relatively lower strike price and sells call options at a higher strike price at the same time. This whale can profit from a rise in Bitcoin between $140,000 and $200,000. Especially, if Bitcoin surpasses $200,000 by expiration, the maximum profit can be achieved.

CoinDesk noted, "This bet demonstrates that some large investors continue to maintain a strong bullish outlook for Bitcoin, even as the market is undergoing a recent correction."

Meanwhile, as of 12:22 PM on the 25th (Korea time), Bitcoin is trading at $116,234 on CoinMarketCap, down 2.44% from the previous day.