Option Focus | Circle Internet's $0.02 Million Put Buy at $55 Strike Signals Bearish Positioning as IV Percentile Sits at Just 16.73%

Option Witch08-15 07:01

Circle Internet Corp. closed at USD 71.60, down 5.01%.

The session saw a notable large trade as a single $0.02 million put buy was executed, dominating the flow. While the headline call/put volume ratio leans bullish, this specific large trade underscores concentrated bearish positioning, contrasting with the broader retail order flow.

>>>Click to claim your commission-free cards before trading!

Options Indicators

CRCL’s implied volatility is 78.22%, while its IV percentile stands at 16.73%, which indicates that although the absolute IV level is high, it sits near the lower end of its own historical range. In other words, current option pricing appears relatively cheap compared with where CRCL’s volatility has traded in the past, and the IV/HV ratio of 1.07 suggests implied volatility is only modestly above realized volatility rather than showing an extreme premium. The Call/Put volume ratio is 2.15.

Large Trades

A PUT buy worth $0.02 million was opened in the August 21, 2026 $55.00 strike, with 3,750 contracts traded for a total premium of $0.02 million. With CRCL referenced at $71.60, this put sits out of the money, making it a relatively lower-cost bearish position that benefits from a meaningful downside move over time. Strategically, this is a straightforward directional downside bet, suggesting the buyer is positioning for weakness while limiting risk to the premium paid. Overall sentiment is bearish. Total bullish large-trade flow was $0.00 million versus total bearish flow of $0.02 million, leaving a net difference of $0.02 million to the bearish side. With the only notable large trade being an out-of-the-money long put, the flow points to investors expressing downside expectations rather than upside participation, indicating cautious to negative sentiment around CRCL.

Strategy Reference

Given the low IV percentile, selling premium may not be optimal; a trader sharing the bearish view but seeking lower cost could consider a bear put spread by selling a further OTM put against the purchased $55 strike.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • Obigoot
    08-15 07:56
    Obigoot
    Calling a $20k put “a notable large trade” and writing “$0.02 million” is just dressing up a tiny position to manufacture drama. That’s not institutional flow — that’s barely a blip.
Leave a comment
1
1