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Ethereum(CRYPTO: ETH) attracted a massive bullish options wager, with a trader risking roughly $780,000 for a potential $40 million profit if ETH breaks to new highs within six months.
On Sep. 10, DeriveXYZ CEO Nick Forsterflagged 10,000 of the March 2027 5,000/7,000 call spreads, purchased for about $300,000.
The position could generate as much as $20 million if Ethereum reaches $7,000 by March 2027.
Why Bet On Ethereum Breaking ATH?
The person behind the trade is notable crypto options trader KoolKrypto, who said on Friday that he isn’t interested in simply betting on Ethereum reaching $3,000 in light of Hyperliquid as measured by Hyperliquid Strategies Inc(NASDAQ:PURR) and Lighter currently offering stronger short-term upside relative to Bitcoin(CRYPTO: BTC).
However, the options structure targets a “meaningful” break above Ethereum’s all-time high within six months while limiting upfront capital.
KoolKrypto highlighted several potential catalysts:
- Ethereum’s possible inclusion alongside Bitcoin in a future U.S. strategic crypto reserve.
- Growing tokenization of bonds and other real-world assets, which he believes could disproportionately benefit Ethereum.
- Continued pro-Ethereum commentary from President Donald Trump and his family.
- Heavy bearish positioning after years of ETH underperformance, potentially creating fuel for a sharp short squeeze.
The trader sees ETH shifting from a network focused primarily on growth toward one that can increasingly monetize its position as a decentralized global settlement layer.
Could Tokenization Finally Unlock ETH?
KoolKrypto sees tokenized bonds as potentially more important for Ethereum than tokenized equities.
Robinhood’s Ethereum-based blockchain plays a key institutional tailwind for ETH.
Despite years of underperformance against faster-growing application-layer tokens and two failed runs at $5,000, he expects tokenization to drive fresh highs.
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