Bitcoin has remained in a sideways range between $90,000 and $106,000, consolidating after previous sharp moves. Price action has been marked by fast drops followed by equally rapid recoveries, highlighting a highly volatile environment.
This behavior aligns with the changes in market maker dynamics in the S&P 500, where they now sell into declines and buy into rallies, indicating negative gamma exposure. Additionally, the effects of charm (delta decay over time) and vanna (volatility impact on delta) have intensified their hedging aggressiveness, amplifying market moves.
Furthermore, BTC continues to de-correlate from the S&P 500, currently at 0.56, reinforcing its role as an independent asset in the current market landscape. On-chain indicators reflect stability:
· BTC Supply in Profit and Loss remains balanced, showing no signs of mass selling pressure.
· NUPL suggests most holders are still in profit, reducing immediate selling.
Closed Strategies Update
Bull Put Spread (Feb 7, 2025) – Closed with Profit
This strategy aimed to capitalize on a bullish bias in BTC and was closed with a 20% profit on February 6, when BTC surpassed $98,000, reaching the planned target.
Initial premium received: 608 USDT
Exit target (20% of premium): +122 USDT
Profit achieved: +122 USDT
Max risk: 2,392 USDT
Return on risk: 5.1%
Iron Condor (Feb 28, 2025) – Closed with Profit
This strategy was designed to benefit from time decay in a sideways market, and it performed exactly as expected.
Premium received: 1,702 USDT
Current value: 1,255 USDT
Profit achieved: +447 USDT (26.3% of initial premium)
Max risk: 2,298 USDT
Return on risk: 19.4%
Since both strategies reached their targets for volatility and time decay gains, they were successfully closed.
New Strategy: Bull Put Spread (Feb 28, 2025)
With BTC still ranging and put skew remaining high, we propose a bullish options strategy:
Setup:
Sell Put Strike $95,000 → Price: 3,045 USDT
Buy Put Strike $92,000 → Price: 1,938 USDT
Net premium received: 1,107 USDT
Max profit: 1,107 USDT
Max loss: 1,893 USDT
Max return on risk: 58.5%
Exit conditions:
· Close if a 20-25% profit on the premium is reached.
· Close if BTC breaks below $90,000, invalidating the bullish outlook.
This strategy takes advantage of high implied volatility in OTM puts and allows us to be bullish without directly buying BTC.
BTC VOl Structure “No Comment” Tump Volatility
Conclusions
With the total risk exposure in both closed strategies being 4,690 USDT, the total profit achieved was 569 USDT, delivering a 12.1% return on risk.
The 2025 market remains characterized by rapid and aggressive swings, meaning buy and hold may not be the optimal strategy. Learning to trade options provides greater flexibility and opportunities in volatile conditions.
Using strategies like Iron Condors in range-bound markets and Bull Put Spreads in bullish setups with high volatility helps maximize gains while efficiently managing risk.
🔥 We remain alert for new market opportunities! 🔥
Disclaimer: Educational Purposes Only
The strategies presented in this report are for educational purposes only and should not be considered as financial advice or trading recommendations. Always evaluate your risk tolerance and consult with a financial professional before engaging in trading activities.
Disclaimer: This article is for educational purposes only and does not constitute financial advice. Every investment involves risk.
About Author
SpreadGreg is a distinguished Principal Trader and CEO at GP Asset Management LLC in Chicago, with over 11 years of professional trading experience and specialized in financial options and commodity futures strategies, he combines technical skill with strategic insight.
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