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Bitcoin Options Expiry: Key Levels and Market Sentiment
Bitcoin Options Expiry – On Friday, approximately 27,300 Bitcoin options contracts are set to expire, with a total notional value of around $3 billion. However, this volume is significantly smaller compared to last week’s month-end and second-quarter expiry, so no major impact is expected on the spot markets.
Market Balance and the “Max Pain” Level
This week’s Bitcoin options hold a put/call ratio of 1, indicating an even split between buyers and sellers. The max pain point — the price level where option holders would face the greatest losses — is around $106,000, roughly $3,000 below the current spot price. This level will be critical at contract expiry.
Open Interest Concentrated at High Strike Prices
Open interest (OI) is highest at strike prices of $115,000, $120,000, and $140,000, with each level holding over $1.5 billion in contracts. Meanwhile, OI at lower strike prices has decreased, signaling a growing bullish sentiment among derivatives traders.
Ethereum Options Also Expire on the Same Day
Alongside Bitcoin, about 220,000 Ethereum options contracts will also expire on July 4. These contracts have a notional value of approximately $584 million, a max pain point at $2,500, and a put/call ratio of 1.28, suggesting a slightly bearish tilt compared to Bitcoin.
Market Outlook and Technical Analysis
The total crypto market capitalization dropped by 2% in the last 24 hours, stabilizing around $3.64 trillion. Bitcoin surged past the $110,000 mark on Thursday evening but slipped back to $109,500 during Friday’s Asian trading session. Analysts suggest Bitcoin must stay above $108,890 to maintain a bullish weekly close and potentially ignite a strong upward trend.
Ethereum reclaimed the $2,600 level on Thursday but continues to struggle with momentum gains.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.
