This week, $3.84 billion worth of options contracts will expire in the Ethereum (ETH) market.$ETH
Ethereum has a more pessimistic tone compared to Bitcoin. With Bitcoin set to reach $14 billion expiration this week, the Ethereum market is less optimistic. According to Block Scholes research analyst Andrew Melville, there is a decrease in the volatility of call options for Ethereum. This indicates that investors’ expectations for Ethereum are weakening.
In the options market, the chart measuring volatility expectations for options with different strike prices remained stable in Bitcoin, while the decline in implied volatility in Ethereum call options suggests that investors are less optimistic.
Ethereum’s pessimistic outlook
In addition, the put-call ratio in Ethereum has shifted more significantly towards put options compared to Bitcoin. Melville noted that the put option ratio for Ethereum is 2.06%, while on the Bitcoin side this ratio is more neutral at 1.64%.
The weak performance of Ethereum in the spot market in recent weeks has also created a pessimistic outlook in the options market. Melville stated that year-end positions have moved away from a more optimistic picture as we enter December, but this situation is more pronounced for Ethereum.
The fact that Ethereum is facing stronger selling pressure compared to Bitcoin suggests that market dynamics could change significantly heading into 2025.