Bitcoin traders are preparing for an $8.8 billion options expiry on Dec. 26, with over $1 billion in options becoming active if BTC surpasses $200,000. Calls dominate with $6.45 billion open interest, but bears are comfortable with Bitcoin below $120,000. Some call options have strike prices over $170,000.

Professional traders use bullish call options in strategies like the Call Diagonal Spread, profiting if BTC exceeds $146,000 by Oct. 31. Another strategy, the Inverse Call Butterfly, profits if BTC lands near $160,000 on Dec. 26. $900 million in put options target $50-$80,000 for the December expiry.

The $140,000 call has a 21% probability, while the $200,000 call has less than 3%. Traders are not betting on a 72% rally but using far-out-of-the-money calls in structured strategies for limited risk and leveraged upside. Odds of BTC reaching $200,000 this year are at 13%, according to Polymarket.

Read more at Cointelegraph: Bitcoin Options Imply Under 3% Chance of $200K BTC price by December