Bitcoin News: Bitcoin Holds $111K as Traders Hedge With Puts Ahead of U.S. Jobs Report

Key Takeaways:Bitcoin trades near $111,000, recovering from Wednesday’s dip below $110K.CME and Deribit traders are snapping up cheap bearish options ahead of the U.S. nonfarm payrolls (NFP) report.NFP is expected to show 110,000 new jobs, with unemployment steady at 4.2%.Bitcoin Market Braces for Jobs DataBitcoin (BTC) hovered near $111,000 on Thursday as traders positioned for the release of the August U.S. nonfarm payrolls (NFP) report due Friday.CME data shows that traders have been purchasing far out-of-the-money (OTM) puts—inexpensive bearish options contracts—to hedge against the risk of an unexpectedly strong jobs report that could trigger selling across risk assets.Consensus forecasts expect the U.S. economy to have added 110,000 jobs in August, up from 73,000 in July, with the unemployment rate steady at 4.2%. Average hourly earnings are projected to rise 0.3%, the same pace as the prior month.Labor Market Sends Mixed SignalsRecent data highlights a cooling but resilient labor market:JOLTS data showed job openings fell to 7.2 million, lower than expected.The quit rate declined, signaling softer wage pressures.ADP’s August report revealed private employers added just 54,000 jobs, down sharply from July’s 104,000.Weaker data strengthens the case for the Fed to begin rate cuts later in 2025—a potential tailwind for Bitcoin. However, an upside surprise in Friday’s NFP could re-anchor Fed priorities toward inflation and delay easing, weighing on BTC in the short term.Options Market Tilts BearishAccording to Gabe Selby, head of research at CF Benchmarks, “robust appetite for leveraged downside exposure through 5-delta OTM puts” has emerged across both short- and long-term expiries.These contracts, which only pay off in sharp sell-offs, are being used as low-cost insurance against extreme downside risk.Data from Deribit, the largest crypto options exchange, also shows short-dated puts trading at a premium to calls, underscoring downside hedging demand ahead of NFP.Technical Levels to WatchBitcoin has bounced back to $111,000, but resistance remains heavy near $112,000, a level that capped Wednesday’s recovery.Support: $110,000 and $108,000Resistance: $112,000 and $115,000A softer-than-expected NFP could help BTC retest $115K, while a strong jobs report risks pushing price back toward $108K or lower, according to CoinDesk.