Bitcoin briefly fell below $60,000 for the first time since October 2024 on Friday, marking a significant downturn for the world's largest cryptocurrency, which has lost about 27% of its value in 2026 and now trades roughly 50% below its all-time high [1]. Despite this sharp decline, trading activity in related stocks surged, with the iShares Bitcoin Trust ETF (IBIT) ranking among the top 20 most popular tickers in the options market by volume [1].
Two of the largest options trades by dollar amount on Monday were in MicroStrategy (MSTR) and Coinbase (COIN), reflecting divergent market views. In MicroStrategy, a trader executed a bearish diagonal options strategy by selling 29,425 of the 125/180-call diagonals, collecting about $56 million. This trade profits most if MicroStrategy shares drop and remain below $125 through August expiration, with the ideal outcome being both calls expiring worthless, allowing the trader to keep the full credit [1].
MicroStrategy's recent sales of bitcoin—the company's first in years—have unsettled investors in both the firm and the broader cryptocurrency market [1]. However, Tom Lee, BitMine chairman and FundStrat head of research, expressed optimism, stating, "In the face of the onslaught of AI narratives undermining trust of traditional systems, bitcoin remains the soundest money, and the resilience of its proof of work architecture has been demonstrated" [1]. Lee suggested that this resilience could be key to a crypto market comeback.
Meanwhile, a bullish options trade in Coinbase saw a trader betting about $21 million on a rebound in the exchange's stock. This trader sold 10,990 June 18 expiration calls for $4.9 million and bought $26 million worth of August 21 expiration 160-calls. The strategy profits from time decay and positions for a longer-term move higher in Coinbase, with profitability requiring the stock to rise above $183.40 per share—about 13% higher than Monday's session price [1].
CONCLUSION
Bitcoin's recent volatility has triggered significant options activity in related stocks, with traders taking both bearish and bullish positions on MicroStrategy and Coinbase, respectively. While recent bitcoin sales by MicroStrategy have spooked investors, some analysts remain optimistic about the cryptocurrency's resilience. The market remains highly active and divided on the near-term outlook for crypto-related equities.