Crypto News– Earlier this week, the Bitcoin price experienced a significant setback as it dropped below the crucial support level of $27,000, hovering around the $26,700 range. Traders are keenly monitoring the market for signs of potential volatility as we approach Friday’s options expiration.
Important Bitcoin Options Statistics for the Upcoming Friday Expiry
Taking a closer look at Bitcoin options data, we can observe that approximately 24,000 BTC options are nearing their expiration.
This situation results in a Put-Call Ratio of 1.23, a maximum pain point at $27,000, and a combined notional value of $640 million. In addition to Bitcoin, around 190,000 ETH options are also set to expire, exhibiting a Put-Call Ratio of 0.71, a maximum pain level of $1,600, and a total notional value of $290 million.
Notably, Bitcoin (BTC) maintains its position as the dominant player, with a remarkable 70% surge in weekly positions for BTC options. It’s worth highlighting that BTC Put positions constitute 60% of the total positions, an uncommon occurrence as reported by Greek Live. In contrast, Ethereum (ETH) appears to be progressing at a slower pace, trailing behind BTC. Despite ongoing market volatility, implied volatilities (IVs) across various major terms have reached all-time lows, signifying a lack of clear indications for an imminent market rebound. Additionally, liquidity has been dwindling in recent times, potentially signaling a significant market event on the horizon.
Investors should exercise caution as the increasing volume of outstanding Bitcoin futures and options contracts might be contributing to the cryptocurrency’s sluggish performance in October. Historically, when Bitcoin’s open interest reaches or surpasses $7 billion, it often reflects heightened investor greed. Currently, open interest stands at $6.19 billion, indicating a cautious sentiment in the market.
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