Bitcoin Falls To $73.7K As Options Pressure Builds

Bitcoin fell back below $74,000 as liquidations continue to hit long positions. The $72,000 threshold now attracts attention, not because traders all consider it a certain target, but because the accumulation of put options can modify professionals’ hedges and amplify the next moves.

Below $74,000, spot purchases fade

Bitcoin was trading around $73,703 on November 10, down 1.3% over twenty-four hours and 3.5% over a week. The rebound observed after the US elections did not withstand the return of risk aversion.

The new decline further penalized traders exposed to leverage. About $356 million of crypto positions were liquidated in twenty-four hours, with nearly 79% on long bets.

Data show the scale of the imbalance :

• 80,898 traders were liquidated ;
• Long positions lost about $280 million ;
• Bitcoin accounted for $86.1 million in liquidations ;
• 82.3% of BTC liquidations involved long positions ;
• Binance represented 42.6% of the total observed on monitored platforms.

The largest individual liquidation occurred on Hyperliquid. A BTC-USD long position of $14.31 million was automatically closed there.

For Bitfinex analysts, the problem lies in the nature of the previous rebound. It relied more on perpetual contracts than on a real accumulation of spot bitcoins.

“A market supported by perpetual long positions rather than spot purchases tends to break levels in cascade,” they explain. When price decreases, leveraged contract liquidations automatically add new sales to an already fragile market.

Traders now protect themselves against a drop to $72,000

Options provide a more nuanced reading than that of a fully bearish market. Total open interest remains dominated by call options, which give the right to buy bitcoin at a determined price. These options represent about 56% of contracts in circulation, versus 44% for put options.

However, recent activity has shifted towards protection against decline. Over twenty-four hours, volumes reached 22,336 BTC for put options, against 20,920 BTC for calls. Investors therefore maintain many long-term bullish positions but buy more short-term protection.

On Deribit, the $74,000 put expiring on November 13 registered the highest volume, with about 3,563 BTC. It is followed by the $72,000 put of November 27, with nearly 2,061 BTC.

These volumes do not necessarily mean holders anticipate a drop below $72,000. A put option can serve to speculate but also to protect a BTC portfolio against a temporary correction.

The danger comes from the effect of hedges. Market makers selling these options regularly adjust their exposure by buying or selling bitcoin or futures contracts. When the price approaches a heavily traded strike price, these operations can reinforce the initial move.

Aggregated data precisely locate the tipping point of hedges, or “zero gamma”, around $76,000. Below this zone, professionals’ adjustments can become less stabilizing.

Expirations can amplify both the decline and Bitcoin rebound

Positioning does not outline an entirely negative scenario. The largest individual position recorded on Deribit remains the $81,000 call expiring on November 13, with about 8,307 BTC open interest. Calls for December at $80,000 and $100,000 also remain important.

The “max pain” level associated with the November 13 expiration was around $75,000 to $77,000 depending on time and calculation method. It corresponds to the theoretical price at which option holders would collectively suffer the greatest losses. However, this level is not a forecast and does not exert any guaranteed mechanical attraction on price.

Bitfinex analysts envision a fluctuation zone between $72,350 and $79,400 before expiration. This range reflects current uncertainty: the market can test bearish protections but can also rise quickly if sellers fail to break supports.

A return above $76,000 would reduce pressure related to hedges and could force some bearish traders to close their positions. Conversely, a sustained break below $73,000 would bring the price closer to the heavily traded $72,000 put, then the option wall around $70,000.

The real risk is therefore not a magic number set by traders. It comes from the combination of the absence of spot purchases, leveraged positions, and options hedges. In this context, $72,000 becomes less a prediction than a zone where market mechanics could accelerate the decline.