$11 Billion in Bitcoin and Ethereum Options Expires Today – Volatility Ahead!
It's a big Friday in the crypto world as more than $11 billion worth of Bitcoin (BTC) and Ethereum (ETH) options are set to expire today. As the market bounces back from the recent dump, all eyes are on today's big expiration event. This could shake things up in the short term, experts say, as the number of contracts can cause price swings.
9.48 billion Bitcoin options will expire
Today, approximately 98,500 Bitcoin options contracts have expired, with a total value of $9.48 billion. This is a huge deadline, three times bigger than last week's deadline.
One important thing that traders are looking at is the “maximum pain point”, which is the price at which most option holders lose. For Bitcoin, this is around $80,000. If Bitcoin stays above this price, it could help stabilize the market.
Bitcoin's highest open interest is currently at the $100k mark, with $2 billion tied to this price. This shows that there is still a lot of demand for Bitcoin to reach $100,000, but it may face some resistance when it tries to go to that level.
But there's still a big expiration event coming up at the end of December, which could be even more important.
Ethereum options expire
In addition to Bitcoin, 412,000 Ethereum options contracts also expire today. These contracts have a large value of $1.47 billion and a call/call ratio of 0.74, suggesting a more bullish bet than the bears. The data shows that the highest pain point for Ethereum options is $2,900.
Some experts think that Ethereum may continue to push higher, especially since the options market is showing more optimism compared to Bitcoin.
When combined with Bitcoin options, the total value of all these crypto options expiring today comes to an incredible $11 billion.
Current Crypto Market Analysis
With $11 billion worth of options contracts expiring today, we can expect some market volatility. The total cryptocurrency market cap has been hovering around $3.32 trillion. Nearly a trillion dollars have poured into the crypto space since the beginning of November, indicating that investors are still interested in the market.
Currently, Bitcoin is trading around $95,757, showing signs of recovery, while Ethereum is holding just below $3,550. However, with so much money tied up in these contracts, volatility is likely to happen soon.
