Bitcoin and Ethereum Options Expiry Set for June 28: What to Expect

In just two days, significant Bitcoin and Ethereum options are set to expire on Deribit, a leading crypto derivatives exchange. This event, involving billions of dollars, could trigger substantial market volatility, creating a crucial moment for cryptocurrency investors.

Here’s everything you should know.

Bitcoin Options Expiry: An Overview

On June 28, Bitcoin options with a notional value of approximately $6.68 billion will expire. The total open interest stands at 108,285.40, with 71,685.90 call options and 36,599.50 put options, resulting in a put/call ratio of 0.51. The max pain price, or the price at which the largest number of options contracts will expire worthless, is $57,000.00. 

Currently, Bitcoin is priced at $61,232.54, with a 30-day change of -10.7%, a 7-day change of -6.3%, and a 24-hour change of -0.1%. Its 24-hour trading volume is $27,459,333,628.

Ethereum Options Expiry: An Analysis

Similarly, Ethereum options worth around $3.5 billion will also expire on June 28. The total open interest for Ethereum options is 1,049,011.00, with 662,459.00 call options and 386,552.00 put options, yielding a put/call ratio of 0.58. The max pain price of ETH options is $3,100.00. 

Presently,  Ethereum is priced at $3,369.83, with a 30-day change of -13.7%, a 7-day change of -4.8%, and a 24-hour change of -0.1%. Its 24-hour trading volume is $11,635,447,897.

Market Volatility: What to Expect

The impending expiry represents over 40% of the current cumulative open interest of over $23 billion, potentially leading to increased market volatility. Large quarterly expiries often result in unpredictable price movements due to higher trading volumes and the closing or rollover of positions.

“As we approach Friday’s large quarterly expiry, potentially influenced by ‘quadruple witching’ and related volatility in U.S. stock markets, over 25% of Derbit open interest is set to expire in-the-money, equating to over $2.7 billion. The total notional size of the expiry is over $10 billion.”

Derbit’s CEO, Luuk Strijers

This indicates that a significant number of derivative contracts are expected to be profitable for their holders at expiration.

Market Shifts Are Coming?

With substantial Bitcoin and Ethereum options set to expire soon, cryptocurrency investors should brace for potential volatility in the crypto market. The outcomes of this event could have significant implications for future price movements and crypto trading strategies.

Read Also: Ethereum vs. Layer 2 Tokens: Which is the Better Crypto Investment?

Are you bracing for volatility, or sticking to your crypto strategy?