Over $4 billion in crypto options expire today
Expiring options often push prices toward ‘max pain’ levels, where most contracts expire worthless, increasing short-term uncertainty.
Over $4.1 billion in Bitcoin and Ethereum options are set to expire today, stirring expectations of price swings across the crypto market. The bulk comes from Bitcoin contracts valued at $3.5 billion, while Ethereum options account for around $565 million.
Data from Deribit shows 33,972 BTC and 224,509 ETH contracts reaching expiry. Traders are watching the market closely, as options expiration often triggers short-term volatility.
Bitcoin’s put-to-call ratio of 1.0 suggests a neutral stance among traders, while Ethereum’s lower 0.69 ratio indicates a tilt toward bullish expectations. Both assets currently trade below their respective ‘max pain’ points.
Analysts note that prices often move toward max pain levels, causing short-term shifts. Broader sentiment remains cautious amid geopolitical tensions and recent US Federal Reserve remarks.
Traders are increasingly hedging against downside risk, particularly concerning possible Middle East conflict and shifting interest rate expectations.
Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!
