Covered Call Selling by Bitcoin Whales Is Weighing on Spot Prices, Analyst Says

Group 1 - Bitcoin's price struggle near the $90,000 level is attributed to covered call selling by long-term holders rather than weak demand [1][7] - Long-term holders, referred to as "OGs," are increasingly using covered calls to generate yield on their Bitcoin holdings [2][7] - The hedging activities of market makers, who sell spot Bitcoin to manage their exposure from call options, create persistent sell-side pressure that caps price rallies [3][7] Group 2 - The shift in price influence towards derivatives trading indicates that options flows are dictating short-term price movements, despite strong inflows into spot ETFs [4][7] - Bitcoin's recent price behavior suggests a decoupling from US equities, with Bitcoin retreating while major stock indices reach record highs [4][5] - Analysts are divided on Bitcoin's future trajectory, with some expecting a rally contingent on the US Federal Reserve's rate-cutting cycle, which could favor risk assets [6]