The goal for Passey users is simple: buy low and sell high, using a combination of spot trading and options. Over the past two weeks, BTC rallied from ~85,000 on 18 December to ~94,000 on 5 January 2026. Unsurprisingly, optimism has risen among hopeful market participants.
That naturally leads to an important question:
When should we spot-sell, and when does it make more sense to use options instead?
In the past two weeks, GLD, SPY, and BTC have all moved higher as traders returned to markets after the holidays. This is important context.
One common weakness among crypto-native traders is losing sight of the broader risk environment. In a risk-on regime, most assets should generally rise at comparable speeds. When one asset materially outpaces the others, it deserves closer scrutiny.
Passey users accumulated BTC primarily in the 86k–88k region. Now, with BTC having significantly outperformed SPY, it is reasonable to pause and ask:
Is this a spot-selling opportunity, or should we wait?
To answer that, we need to look at two factors: options data and macro catalysts.
On the options side, there is still substantial open interest clustered around 94k and 95k for 9 January and 16 January 2026 expiries. In contrast, 23 January currently shows no significant open interest (>1,000 BTC) at the 94k strike at the time of writing.
This creates a clear near-term framework:
BTC must decisively clear 94k in the next two weeks
Until that happens, price is likely to remain range-bound in this region
Failure to break through these strikes increases the odds of mean reversion rather than continuation
In this environment, options-based selling (e.g. covered calls) often makes more sense than aggressive spot selling.
The next major macro milestone is the CLARITY Act, a bipartisan legislative proposal that aims to define the nature of crypto assets and clarify which U.S. regulator oversees them.
The bill:
Passed the House of Representatives on 17 July 2025
Is now under consideration in the Senate
If eventually passed, this act would allow allocators to treat crypto as a legitimate asset class, with reduced risk of retroactive enforcement or sudden illegality. That kind of certainty is essential for long-term capital and sustained innovation.
The next key date is 15 January, when a Senate committee markup vote is scheduled.
If the markup passes:
The bill can be reported to the full Senate
Markets may interpret this as meaningful progress toward U.S. regulatory clarity
Between now and then, what matters most is sentiment versus price.
Do we see growing enthusiasm and narrative momentum?
And more importantly — does price actually reflect it?
If price fails to respond meaningfully to increasing hype around this timeline, it suggests that:
The recent rally was positioning-driven
Upside enthusiasm is already priced in
We are more likely to continue ranging rather than trend higher
In that case, liquidity is likely to continue flowing into metals and large-cap equity leaders, while BTC consolidates.
Until BTC can:
Clear key option-heavy levels, and
Show sustained follow-through ahead of the CLARITY Act milestone,
The base case remains sideways price action, where selective spot selling and options strategies are more appropriate than chasing breakouts.
Given current positioning, options structure, and the 15 January CLARITY Act markup, my preferred approach is risk-managed de-risking rather than outright bearishness.
Plan:
Sell 50% of spot BTC on 14 January
Trigger: if BTC is ranging near or trading above 94,000
Rationale: price has run into heavy options resistance, and expectations around the catalyst are elevated
For the remaining 50%, sell covered calls on 16 January
Strike: 102,000
Implied yield: ~7% p.a.
Rationale: monetise elevated implied volatility while retaining upside participation if the post-15 January outcome sparks a rally
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