Bitcoin (BTC) defied expectations for significant volatility in August, trading within a range. As market dynamics indicate a continued low-volatility regime in the near term, 10x Research highlights the "short strangle" as an ideal play.

"Given the current dynamics in the bitcoin options market, a short strangle looks well-suited for the next month. With bitcoin trading around $113,000 and an expected range between $95,000 and $125,000, selling an out-of-the-money [September expiry] put near $95,000 alongside an out-of-the-money [September expiry] call near $125,000 provides an opportunity to capture premium," Markus Thielen, founder of 10x Research, said in a report to clients Thursday.

Short strangle involves a simultaneous writing (selling) of out-of-the-money higher strike calls and

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