🎉Big news, Bitcoin enthusiasts! This Friday, a whopping 107,000 Bitcoin options contracts are set to expire, carrying a notional value of $6.6 billion. This end-of-month expiry event is larger than usual, so brace yourselves for some market volatility. 🎢
The BTC derivatives expiring today have a put/call ratio of 0.5, indicating twice as many long (call) contracts are expiring as shorts (puts). The max pain point is $57,000, around $4,000 lower than current spot prices. 📉
Despite the bearish market sentiment, the Bitcoin bulls remain in control of the options markets. There's more than $340 million in open interest at higher strike prices of $70K, $75K, and $80K. The total open interest even ramps up to $590 million at $90K and a staggering $770 million at the $100K strike price. 🐂💪
Crypto derivatives tooling provider Greeks Live noted that June was a tough month for the crypto market. However, the implied volatility, a measure of future volatility from expiring contracts, did not show a significant rise, with BTC below 50% IV for all major terms. 🧐
In addition to Bitcoin, around a million Ethereum options are also expiring today, pushing the total crypto options expiration notional value to over $10 billion. 💰
Despite the market's bearish sentiment, Bitcoin managed to recover to top $62,000 on June 28, though it has since retreated to $61,500. Ethereum prices also recovered from their five-week low of $3,260 on Monday, returning to $3,430. 📈
So, will today's massive $6.6B Bitcoin options expiry send markets back down? Only time will tell! Stay tuned, folks! 📰👀