Bitcoin's rebound from the low $60,000s to briefly above $81,000 this week has strengthened BlackRock's case that the cryptocurrency behaves as a portfolio hedge rather than a pure risk asset. Spot ETF inflows and falling futures leverage point to cash-funded demand, while options traders position for a defined-risk path through Friday's $6.44 billion Deribit expiry.
Bitcoin's rebound from the low $60,000s to briefly above $81,000 this week has strengthened the case that the cryptocurrency trades as a portfolio hedge rather than a pure risk-on bet, according to BlackRock Head of Digital Assets Robbie Mitchnick. Speaking to CNBC on Wednesday, Mitchnick said bitcoin's fundamental risk and return drivers can point in the opposite direction from equities and other traditional assets, even as its novelty, volatility, and leveraged trading can make it behave like a risk-on asset in the short term.
Mitchnick said the risk-off narrative around bitcoin has risen back to the forefront over the last couple of weeks, reflecting how most long-term institutional investors BlackRock works with view the asset. According to Mitchnick: "I think in the long run, that's the narrative to bet on around bitcoin." He pointed to global debt and deficit concerns as a driver that tends to benefit bitcoin and gold alike, particularly among younger investors.
Spot bitcoin ETF inflows hit 2026 highs
BlackRock's IBIT is the largest spot bitcoin ETF by assets. The fund alone holds over $76 billion in assets under management, according to The Block's data. Kraken Chief Economist Thomas Perfumo said spot bitcoin ETFs pulled in roughly $2.4 billion in net inflows during August, the strongest month of 2026 and enough to erase almost half of the funds' year-to-date deficit.
Glassnode data cited by CryptoSlate showed ETFs absorbed $2.23 billion around bitcoin's initial squeeze. Aug. 19 produced the largest dollar-denominated single-day short liquidation event in Glassnode's dataset since 2019, about 85% of it from short positions. Futures open interest fell 11% in BTC terms through the move, and funding stayed close to neutral. That pattern points to a short squeeze unwinding forced short positions rather than fresh leveraged longs replacing them.
Options traders eye Friday's $6.44 billion expiry
About 81,700 bitcoin options worth $6.44 billion expire on Deribit Friday, with calls outnumbering puts and notable concentrations at the $75,000 and $80,000 strikes. Ahead of that deadline, industry experts favor call spreads — buying the right to purchase bitcoin at one strike price while selling the right to buy at a higher strike, capping both potential profit and loss.
Deribit Chief Commercial Officer Jean-David Pequignot said the structure gives traders defined-risk access to potential gains once Fed and inflation catalysts pass in September, since losses stay capped at the premium paid. 10x Research founder Markus Thielken also favors the approach, suggesting an 85/95 September call spread as an alternative.
Bitcoin is on track for its biggest monthly gain since 2024, but September has historically been a mildly bearish month for bitcoin, averaging a negative 3% return since 2013, according to data source Coinglass.
Sources: The Block, CryptoSlate, CoinDesk
Trading involves risk.
Risk Disclaimer
