The post Will Markets Tank Further as $1.5B as Crypto Options Expire? appeared on BitcoinEthereumNews.com.

Around 18,000 Bitcoin options contracts will expire on July 5 with a notional value of around $1 billion. However, this week’s expiry event is much smaller than the big end-of-quarter contract expiry last Friday. Bitcoin Options Expiry Today’s batch of BTC derivatives has a put/call ratio of 0.65, meaning that almost twice as many long (call) contracts are expiring as shorts (puts). The max pain point, or level at which most losses will be made, is $61,500, which is significantly higher than current spot prices following this week’s massive market crash. There is still a lot of open interest at higher strike prices with $532 million at $90,000 and $665 million in OI at $100,000, according to Deribit. However, the bears are gaining momentum with OI creeping up at lower strike prices. “Just after the quarterly delivery, the market saw huge volatility, with major term IVs (implied volatility) increasing significantly, a good opportunity for institutional sellers to build positions,” commented crypto derivatives solutions provider Greeks Live. “The market atmosphere is more pessimistic, and the IV of put options on BTC & ETH has risen significantly, and the term structure shows an inversion of far-low and near-high.” July 5 Options Data18,000 BTC options are about to expire with a Put Call Ratio of 0.65, a Maxpain point of $61,500 and a notional value of $1 billion. 164,000 ETH options are due to expire with a Put Call Ratio of 0.36, a Maxpain point of $3,350 and a notional value of $470… pic.twitter.com/uAxOO5gDQ8 — Greeks.live (@GreeksLive) July 5, 2024 Implied volatility is a measure of future volatility from expiring contracts which increases during times of major market movements. In addition to the expiring Bitcoin options, there are 164,000 Ethereum options due to expire. These have a put/call ratio of 0.36, a max…

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Filed under: News - @ July 5, 2024 4:12 pm