$1.32 Billion in Bitcoin Options Expire Today With $62K Max Pain Price

$1.32 Billion in Bitcoin Options Expire Today With $62K Max Pain Price

The crypto options market is gearing up for a significant expiration event today, July 19, 2023, as Bitcoin options worth $1.32 billion are set to expire at 5:00 PM KST, according to data from crypto options exchange Deribit. The put/call ratio for Bitcoin options currently stands at 1.19, indicating a slightly bearish sentiment among options traders. This means that there are more open put options (bets that the price of Bitcoin will decrease) than call options (bets that the price will increase). The max pain price for Bitcoin options is $62,000, which means that the largest number of option buyers will lose their premium if the price of Bitcoin settles at this level at the time of expiry. In addition to Bitcoin options, Ethereum options worth $480 million will also expire during the same hour. The put/call ratio for Ethereum options is 0.37, indicating a more bullish sentiment among options traders. The max pain price for Ethereum options is $3,150. The expiration of these options contracts is likely to have a significant impact on the spot market for Bitcoin and Ethereum. If the price of either asset moves significantly away from the max pain price, it could trigger a large number of option holders to close their positions, which could lead to increased volatility.