Analyst: Bitcoin remains resilient amid market turbulence, as market consolidation clears leverage to pave the way for the next round of gains

Coindesk analyst Omkar Godbole stated that Bloomberg has reiterated its prediction: Bitcoin could drop to $10,000— a price level not seen since mid-2020. Industry observers consider this prediction to be overly absurd. However, on the largest crypto options trading platform Deribit, about $800 million in open positions are concentrated in $20,000 put options, betting that the price will fall below that level. This is the fourth most popular bearish bet on the platform. This indicates that some traders are preparing for a possible crash. But Deribit stated that not all positions are direct bets against a price drop.

Sidrah Fariq, Head of Global Retail Sales at Deribit, said, "Most positions are more like selling put options rather than directional long hedges. Traders often sell out-of-the-money put options because the probability of hitting those levels is low." Meanwhile, Bitcoin has shown remarkable resilience, maintaining around $70,000 even as crude oil prices rebounded, pushing benchmark oil prices close to $100 and shaking traditional markets. Ethereum, XRP, and SOL have also remained strong, while the HYPE token rose about 10% within 24 hours. Analysts say that excessive leverage is being cleared from the Bitcoin market, paving the way for price increases. Diana Pires, Vice President of Sales at crypto platform sFOX, stated in an email, "From a market structure perspective, this consolidation could be constructive, as reducing leveraged positions often lays a more stable foundation for the next wave of movement once clearer macro catalysts emerge."