At 10:00 CET today, a record volume of Bitcoin options worth nearly $15 billion will expire on the Deribit exchange. In addition to daily, weekly, and monthly contracts, quarterly contracts will also expire. There is currently approximately $2.5 billion in the money.
Market sentiment and key threshold
Options allow the holder to buy or sell Bitcoin at a predetermined price, with no obligation to exercise. This flexibility makes options a popular tool for speculation and hedging against risk. Deribit remains the main player in the market, handling about three-quarters of all Bitcoin option trades.
The price of Bitcoin is hovering around $107,500. Analysts are pointing to the so-called Max Pain Price of $102,000, where most options would expire worthless. The put/call ratio rose from 0.69 to 0.75, indicating a shift toward neutral sentiment and possible hedging against a decline.
Contract distribution
A total of 139,381 options are expiring, with 16.6% in the money. Call options (bullish) are worth $1.95 billion, while put options (bearish) are worth $537 million. These positions may affect market volatility after 10 a.m.
There are more than 2,200 put options around the $105,000 mark, as well as the 50-day moving average. This zone may serve as a target for selling pressure. Although options do not guarantee that they will be exercised, expirations often bring increased trading volume and price fluctuations.
