Massive Bitcoin and Ethereum Options Expirations set to shake up Market
CryptoNewsTerminal Staff17 May, 2024
Massive Bitcoin and Ethereum Options Expirations set to shake up Market
Bitcoin and Ethereum options worth over $2 billion are set to expire today, which could have a significant impact on the price of both cryptocurrencies. According to crypto options exchange Deribit, Bitcoin options worth $1.18 billion are set to expire today at 8:00 am UTC. The put/call ratio is 0.62, and the max pain price, or the price at which the most options buyers will lose money, is $63,000. Separately, Ethereum options worth $930 million will also expire at the same time. The put/call ratio is 0.28, and the max pain price is $3,000. The expiration of these options could lead to increased volatility in the price of Bitcoin and Ethereum. If the price of Bitcoin falls below $63,000, for example, many options buyers will lose money, and this could lead to a sell-off. Similarly, if the price of Ethereum falls below $3,000, many options buyers will lose money, and this could lead to a sell-off. It is important to note that the expiration of options does not always have a significant impact on the price of the underlying asset. However, in the case of Bitcoin and Ethereum, the large size of the options expirations could lead to increased volatility.
