BTC and ETH traders bet big through onchain and centralized options markets.

Traders are betting big on bitcoin and ether (ETH) as the BTC rally rages on, and observers downplay Tuesday's U.S. inflation data as a potential barrier for the bull.

BTC, the leading cryptocurrency by market value, rose to record highs above $121,000 during Monday's Asian trading hours, representing a 2.7% gain on a 24-hour basis. The new high took the year-to-date gain to nearly 30%, with prices up 13% this month alone, according to CoinDesk data.

Activity on the leading decentralized options platform Derive backed the bullish price action, with significant open interest concentrated in the $130,000 call option.

"Almost 20% of the open interest on Derive’s Sept 26 expiry for BTC is concentrated at the $130K call, suggesting traders expect gradual but persistent price rises over the next three months," Nick Forster, founder at Derive, said.

In ETH's case, 45% of ETH’s open interest on the July 18 expiry is concentrated in the $3,400 strike, with that one strike making up 16% of ETH weekend volume, Forester explained, calling that a sign of traders expecting a breakout in the second-largest cryptocurrency.

"While volatility remains moderate compared to 2020-21, directional conviction is growing, especially in ETH. We’re watching closely for confirmation of this trend over the coming week," Forster noted.

Options listed on centralized giant Deribit painted a similar bullish picture for bitcoin and ether, with calls or bullish bets trading pricier than puts across tenors.