IBIT 8,020-Contract Call Spread Nets Early 3.5% Gain: Bullish Option Skew Signals More Upside?
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Major 8,020-Contract Call Spread Captures Quick Profit as IBIT Inches Higher
A notable options trade in the iShares Bitcoin Trust ETF (IBIT) surfaced with 8,020 call spreads exchanged on August 27, 2025, aiming to capitalize on near-term price action. The trade targeted the 65-68 strike range for September 5, 2025 expiration—just 9 days out. Bought for an average (VWAP) of $0.56 per spread, the position quickly moved to a $0.58 market value as IBIT shares nudged from $63.49 to $63.55, locking in an early 3.5% gain.
Call Spread Trade Structure: Risk/Reward and Market Impact
| Expiration | Sep 5, 2025 |
|---|---|
| Strikes | 65/68 Call Spread |
| Contracts | 8,020 |
| Days to Expiry | 9 |
| VWAP Trade Price | 0.56 |
| VWAP Bid | 0.53 |
| VWAP Ask | 0.56 |
| Stock Ref Price | 63.49 |
See full multi-leg trade details here.
With $225,000 paid to control these spreads, buyers could realize up to $978,000 in profits if IBIT rises above $68 by expiration. To reach that maximum, the ETF needs to climb an additional 7% in just over a week. This trade—aggressively placed and sizey—reveals meaningful bullish intent in a tight window.
Option Skew Remains Bullish, Signaling Traders Expect Upside
The proprietary 30-day option skew indicator ranks at 93%—putting it near its most bullish reading in a year. High call-side skew like this points to outsized demand for upside protection or speculation, reinforcing the hypothesis that market makers and investors anticipate a near-term IBIT move higher. The 93% skew reading historically aligns with strong upward pressure or heightened event risk—useful context when evaluating why a large player might position so aggressively on the call side.
Technical Indicators: Recent Underperformance But Long-Term Trend Remains Up
Technically, IBIT is trading at $63.55—a 0.71% lift on the day, yet still 3.4% below its 20-day moving average and 1.5% under the 50-day, suggesting a mild recent pullback. The 20- and 50-day averages remain well above the 250-day moving average (by 25.3% and 23%, respectively), and IBIT stands 21.1% above its 250-day average. Despite retreating 9.1% from its 52-week high, IBIT has surged 110.2% from its yearly low.
Performance vs. the broader SPY ETF highlights this dichotomy: IBIT is a standout longer-term performer (+76.1% one-year return vs. SPY’s +16.4%), but it has underperformed the S&P 500 recently—falling 6.5% over two weeks and lagging over the past three months. This soft patch could either be a temporary breather or the setup for another run if bullish options sentiment materializes.
IBIT Performance Table: At-a-Glance Returns
| Duration | IBIT Return | Low | High | SPY Return |
|---|---|---|---|---|
| Today | +0.7% | 63.05 | 64.02 | +0.1% |
| 2 Week | -6.5% | 62.11 | 69.89 | +0.5% |
| 1 Month | -4.2% | 62.11 | 69.89 | +1.4% |
| 3 Month | +2.8% | 56.63 | 69.89 | +11.8% |
| 6 Month | +32.5% | 42.98 | 69.89 | +9.2% |
| 1 Year | +76.1% | 30.24 | 69.89 | +16.4% |
| YTD | +19.8% | 42.98 | 69.89 | +10.8% |
| 3 Year | -- | -- | -- | +64.4% |
| 5 Year | -- | -- | -- | +95.0% |
What This Means for Traders: Skew, Momentum, and the Trade’s Rationale
Here’s the takeaway: this sizable IBIT call spread stakes over $225K for a shot at quadruple returns in just 9 days—evidence of bullish conviction. That wager is supported by a top-tier bullish option skew reading and strong multi-month technical momentum, even as near-term underperformance lingers. If the ETF pushes above $68 by September 5, buyers maximize the payoff; below $65, their risk is capped.
Curious about other option strategies on IBIT or different tickers? Explore more call spreads and multi-leg trades here for further research.
Final Word: Option Sentiment Leans Bullish—But Watch Price Action
The convergence of bullish skew and aggressive options buying makes IBIT one to watch over the next week. While there’s no guarantee the price will break through $68 in time, the flow and market sentiment are clearly tilted to the upside. For those tracking short-term setups, this may signal where large traders see opportunity in the days ahead.
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