Crypto Market on Edge as $2 Billion in Bitcoin (BTC) And Ethereum (ETH) Options Expire Today (Put/Call Ratio 0.46)

Anticipation hangs heavy in the crypto market today as nearly $2 billion worth of Bitcoin (BTC) and Ethereum (ETH) options contracts are set to expire. This significant event has a history of causing price volatility, prompting traders and investors to closely monitor the situation.

Looking Back to Predict the Future?

Historical trends offer a glimmer of hope for a post-expiry rebound. Today’s expiring Bitcoin(BTC) options, with a total value of $1.27 billion, hold a put-to-call ratio of 0.46. This suggests that call options (bets on rising prices) are more prevalent than put options (bets on falling prices). The “maximum pain point” for these options sits at $66,500, indicating the price level that would inflict the most financial loss on option holders.

Ethereum Options Show Similar Signs

Following a similar trend, expiring Ethereum options, valued at $693.37 million, boast a put-to-call ratio of 0.30. This again indicates a dominance of call options. The maximum pain point for these contracts sits at $3,500. Analysts at Greeks.Live also observed a rise in “forward options volume,” particularly for block calls, suggesting a bullish sentiment.

Also Read: German Government Moves $425 Million In Bitcoin, Sparking Fears Of Market Crash: Is A Sell-Off Imminent?

Recent Market Movements

This week, Bitcoin(BTC) prices danced between $64,258 and $66,782, while Ethereum hovered within the $3,387 to $3,632 range. As of writing, Bitcoin(BTC) sits at $64,924, reflecting a 2.7% dip over the past week. Ethereum, on the other hand, trades at $3,526, marking a slight increase of 1.5%.

Volatility Expected, Stabilization Possible

While options expirations can undoubtedly cause temporary disruptions in the market, they often pave the way for stabilization following the dust settles. By understanding historical patterns and analyzing technical indicators alongside current market sentiment, traders can navigate the anticipated volatility more effectively.

Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.

About The Author

Dora Lilian

With a keen eye on the latest trends and developments in the crypto space, I’m dedicated to providing readers with unbiased and insightful coverage of the market. My goal is to help people understand the nuances of cryptocurrencies and make sound investment decisions. I believe that crypto has the potential to revolutionize the way we think about money and finance, and I’m excited to be a part of this unfolding story.

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