Bitcoin’s rebound could extend as institutional investors that sold call options and volatility are forced to hedge or close positions, adding buying pressure, Two Prime founder and CEO Alexander Blume told CoinDesk. Bitcoin briefly topped $82,000 on Thursday before trading around $78,500, with its price listed at $78,356.11. The recovery has been supported by easing bond yields, expanded Treasury debt buybacks, expectations that the Federal Reserve could hold rates steady in September, and $731 million of spot bitcoin ETF inflows on Thursday. Stronger-than-expected jobs data on Friday subsequently increased expectations of a rate hike. Blume said perpetual-futures funding rates remain below levels associated with excessive leverage, while renewed purchases by Strategy, Strive and other bitcoin treasury companies are supporting demand. Implied volatility rose from roughly 23%-24% last month to the 40s during the rally, but remains modest by historical standards, leaving call sellers exposed if it rises further. Blume said Bitcoin appears to have formed a base around $60,000 if broader economic conditions remain stable, but warned that a broad sell-off in risk assets, elevated Treasury yields, higher oil prices and persistent inflation could weigh on the market.