$10 Billion in Bitcoin and Ethereum Options to Expire This Friday

Bitcoin (BTC) and Ethereum (ETH) option contracts totaling $10.18 billion are reaching their expiration date on Deribit, a prominent crypto derivatives trading platform.

This significant event, set for Friday at 11:00 a.m. (EDT), represents more than 40% of Deribit’s current open interest, which stands at more than $23 billion.
Such significant option expirations every three months typically lead to increased volatility in the market due to significant trading volumes and the rebalancing of positions by traders.

Bitcoin faced a recent drop of nearly 9% this month, dipping below $60,000, attracting buying interest from opportunistic investors. Ethereum suffered a similar drop of nearly 10% during that period.

Despite the market’s recent decline, traders are optimistic as they are willing to pay higher premiums for both short-term and long-term calls compared to puts, indicative of bullish sentiment.

BTC is currently trading at $60,958, marking a decline of 2.24% over the past 24 hours, while ETH is down 1.14%, hovering around $3,375.

Alexander Stefanov