Coinbase Institutional's research desk just dropped something traders should not ignore. The Coinbase GEX metric, drawn from the exchange's BTC Practical Playbook, maps exactly how options dealers are forced to move when bitcoin shifts price. It turns the options market into what Coinbase calls a "hidden liquidity provider."
The report, shared by on X, layers gamma exposure data on top of an existing support and resistance heatmap. That heatmap aggregates high-volume pivot points into price bands. Blue zones mark support. Grey marks resistance.
You might also like: Bitcoin Options Positioning Turns Defensive After Crash
The densest support cluster sits near $60K. First dense resistance lands around $82K. Those two levels now carry extra weight because of what the Coinbase GEX metric shows sitting between them.
$60K to $70K Is Where Things Get Dangerous
The gamma profile shows pronounced negative gamma concentrated in the $60K to $70K band. That is the critical part. Negative gamma means dealers buy as price rises and sell harder as price falls. It flips into a trend amplifier. A drop into that zone does not stabilize, it accelerates.
Coinbase's research team, per the full weekly commentary published at coinbase.com/institutional/research-insights, described this dynamic directly. When BTC falls through negative gamma territory, hedgers are forced to keep selling. Ordinary breaks turn into fast repricing. Liquidation-style cascades become probable.
Must Read: Bitcoin Fear Index Hits Extreme Low as BTC Falls
Positive gamma pockets sit higher up at $85K and $90K. That pairing creates an asymmetric picture. Downside into $60K can accelerate fast. Upside into $90K grinds and pins. Both are traps of a different kind.
Four Scenarios. One Playbook.
Coinbase's team isolates four specific trade setups from this data. Each one maps to a different BTC price outcome.
If BTC rejects at $82K, the Coinbase GEX metric does not show a stabilizing gamma pocket nearby. First-touch rejection at dense supply is common, the report notes. Defined-risk bearish structures like bear put spreads fit that environment. Outright short positions carry more risk given bitcoin already trades at depressed levels.
You might also like: Bitcoin Price Drops 46% — Is the Real Bottom Near?
If BTC breaks and holds above $82K, excess supply at that level has likely been absorbed. Continuation toward $85K to $90K becomes probable. But positive gamma in that range creates chop. Call spreads outperform outright calls there, preserving convexity while cutting theta bleed in a slow grind.
The third scenario. BTC tags $60K, flushes through negative gamma territory, then reclaims. Coinbase's team is explicit here. Buy after the reclaim, not during the fall. The path to that level can be violent. Overshooting is expected. Long exposure through call spreads only after reclaim signals.
If $60K fails entirely, the Coinbase GEX metric points to a regime break. The negative gamma below that level means the move can extend faster than discretionary buyers expect. Protective put spreads for long portfolios. Bear put spreads over outright shorts for directional traders.
Also worth your time: BlackRock Bitcoin ETF Sees $232M Inflow as Bitcoin Rebounds
As noted on X, Coinbase One subscribers get these playbook reports weekly. The broader research is available through the Coinbase Research and Insights page.
BTC DVOL spiked 28 points to 56 during the recent sell-off, hitting the 99.7th percentile per the same weekly report. The volatility regime has already shifted. The Coinbase GEX metric now maps what comes next.
