Investors Slam Brakes on Grayscale’s Options Play as Bitcoin Slump Deepens
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The Grayscale Bitcoin Covered Call ETF, BTCC, saw notable outflows on January 05, 2026, with $1,747,576 leaving the fund. The redemption represents roughly 7.67% of its latest reported assets under management, which stand at $22,789,883, underscoring how sensitive this covered-call strategy has become to shifts in sentiment around Bitcoin.
The related asset, BTC-USD, is currently trading at $90,635.99, having shed about 19.7% over the past three months. Technically, the market tone remains cautious, with a 1-day signal flashing Sell, suggesting traders are still reluctant to call a bottom despite Bitcoin’s substantial pullback.
The sizable outflow from BTCC hints that investors may be rethinking income-oriented Bitcoin exposure at a time when volatility is cutting both ways: option premiums remain attractive, but downside pressure on the underlying asset is eroding capital. For some, exiting now may be a bet that either better entry points lie ahead or that more directional, non-covered-call products could outperform if and when Bitcoin stages a stronger rebound.
Still, with nearly $23 million in AUM remaining, BTCC retains a meaningful investor base willing to trade off some upside for option income, even in a choppy crypto environment. The coming weeks of price action in Bitcoin will likely determine whether this latest bout of outflows marks the start of a broader rotation out of covered-call crypto strategies or just a tactical shakeout.
For a more detailed analysis and real-time sentiment trends, check the live cryptocurrency prices here.