Bitcoin Breaks New Record, Reaching $94,000 with ETF Options Now Live

Bitcoin (BTC) surged to a new all-time high on Tuesday, reaching above $94,000, following the launch of options trading for spot Bitcoin exchange-traded funds (ETFs). The new product is expected to boost the cryptocurrency’s exposure among financial institutions and retail investors alike.

At the time of writing, Bitcoin was trading at over $94,000, a 4% increase in the past 24 hours, breaking its previous record of $93,450 from November 13. The CoinDesk 20 Index, which tracks the top 20 cryptocurrencies (excluding stablecoins, memecoins, and exchange tokens), posted a slight gain of 0.3%. Among the top coins, Hedera (HBAR) led with a 9% rise, while Polkadot (POL) was the only major coin to decline, falling 0.8%.

The launch of options for spot Bitcoin ETFs is seen as a significant milestone for the digital asset market. While Bitcoin options have existed on the CME for some time, the introduction of spot ETF options provides broader access and flexibility for investors, particularly institutions. Noelle Acheson, former head of market insights at Genesis, explained that a more advanced onshore derivatives market will foster greater investor confidence and attract new participants. “This will lead to more investment strategies, greater flexibility, and increased exposure, which is especially attractive to institutional investors,” she said.

Currently, only BlackRock’s IBIT spot Bitcoin ETF offers options, and the demand has been substantial. Bloomberg ETF analyst Eric Balchunas reported that options volume on IBIT reached several hundred million dollars in its first day, with the majority of contracts being calls, signaling optimism that Bitcoin’s price will continue to rise.