Key Notes
Bitcoin’s implied volatility rebounded to 40%, with nearly 30% of options volume concentrated in puts.
Despite the cautious sentiment, BTC price is showing an upside move, eyeing a breakout past $113,000 levels for a sustained rally.
Analysts highlighted September’s weak historical track record for crypto, citing institutional rollovers and subdued capital inflows.
With $3.38 billion of Bitcoin options expiry on Sept. 5, BTC price is showing some strength with 1.77% upside. Now it has increased to $112,500 levels. Analysts are expecting September to be a month of subdued volatility and weaker performance, according to the historical trends.
BTC Price Jumps amid $3.38 Billion in Bitcoin Options Expiry
Bitcoin (BTC) leads this cycle of expiring options, with a notional value of $3.38 billion. Data from Deribit shows total open interest at 30,447 contracts.
The max pain level, where the most options are likely to expire worthless, sits at $112,000. Meanwhile, the put-call ratio is 1.41, indicating a bearish tilt and a cautious market sentiment.
$3.38 billion in Bitcoin options expire on Sept. 5| Source: Deribit
Amid this options expiry, implied volatility (IV) across Bitcoin maturities has rebounded to around 40% following a month-long correction that drove BTC price more than 10% below its all-time high.
Analysts note that traders remain cautious, as shown by a surge in block trading of put options, which make up nearly 30% of today’s total options volume.
Bitcoin price has gained 1.7% in the last 24 hours, soaring past $112,500 levels as of press time. Crypto analyst Rekt Capital said Bitcoin has now fully confirmed its breakout. He noted that a daily close or successful retest of the ~$113,000 level would further validate the move and support continued upside momentum.
Bitcoin has technically fully confirmed its breakout
A Daily Close and/or retest of the ~$113k region (red) would ensure additional trend continuation to the upside$BTC #Crypto #Bitcoin https://t.co/5YkzaHtB6v pic.twitter.com/vf9Mt8uHrB
— Rekt Capital (@rektcapital) September 5, 2025
September Uncertainty Remains on Radar
Market sentiment is turning cautious, with Greeks.live noting that September has historically been a weak month for cryptocurrencies. Institutional rollovers and quarterly settlements often weigh on capital inflows, they said.
“The options market, in general, lacks confidence in September’s performance,” the analysts observed. With the broader downtrend and crypto equity correction, investors and traders prefer to stay risk-averse at this stage.
Bitcoin VDD Signals Easing Long-Term Holder Pressure
“If this selling pressure keeps easing, it will certainly provide relief to the market and may allow for a renewed move higher, provided demand steps in.” – By @Darkfost_Coc pic.twitter.com/65zAo2NLp7
— CryptoQuant.com (@cryptoquant_com) September 5, 2025
On-chain analytics firm CryptoQuant reported that Bitcoin’s Value Days Destroyed (VDD) metric indicates easing selling pressure from long-term holders. The firm noted that if this trend continues, it could provide relief to the market and open the door for a renewed upward move. However, this needs to be backed by a strong demand surge.
