The cryptocurrency market is buzzing as more than $11 billion worth of Bitcoin (BTC) and Ethereum (ETH) options are set to expire today. After recovering from a recent price dip, traders are closely watching how this massive event could impact short-term price movements.
The sheer size of the expiring contracts might trigger notable market shifts.
Today, about 98,500 Bitcoin options contracts are expiring, with a total value of $9.48 billion. This is a massive expiry event, more than three times bigger than last week’s expiry.
Key to today’s developments is Bitcoin’s “maximum pain point”—the price where most options holders incur losses. For Bitcoin, this point is around $80,000. If prices remain above this level, it could help stabilize the market.
Bitcoin also has the highest open interest—contracts linked to a specific price—at $100,000, with $2 billion tied to this level. While this indicates optimism about Bitcoin reaching six figures, resistance at this milestone could slow its climb.
December’s Bigger Expiry Looms
Although today’s expiry is significant, a larger event at the end of December may have an even greater influence on Bitcoin’s trajectory.
Apart from Bitcoin, 412,000 Ethereum options contracts are also set to expire today. These contracts are worth a massive $1.47 billion and have a put/call ratio of 0.74, suggesting more bullish bets than bearish ones. The data also shows that the maximum pain point for Ethereum’s options is $2,900.
Some experts think Ethereum might keep pushing higher, especially since its options market is showing more optimism compared to Bitcoin.
When combined with Bitcoin’s options expiry, the total value of all these crypto options expiring today reaches an incredible $11 billion.
The total value of expiring Bitcoin and Ethereum options today amounts to an impressive $11 billion. This could lead to increased market volatility as traders adjust their positions and strategies in response.
Market Snapshot
The overall cryptocurrency market cap remains stable at $3.32 trillion. Since November began, nearly $1 trillion has flowed into the market, underscoring strong investor interest.
Currently, Bitcoin is trading around $95,757, showing signs of recovery, while Ethereum is holding near $3,550. However, with such a large volume of contracts expiring, significant price swings could occur in the short term.
With $2 billion tied to $100K contracts, traders are optimistic, but BTC may face resistance before reaching this milestone.
Ethereum’s lower put/call ratio of 0.74 indicates more bullish bets, with optimism around its $2,900 maximum pain point.
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