Bitcoin and Ethereum Await Volatility Surge After November Options Expiry

Bitcoin (BTC) is trading within a defined range after its recent correction, with investors eyeing the $100,000 mark.

Today’s option contract expirations are significant, as they fall on the last Friday of November, bringing added anticipation. A total of 98,000 Bitcoin and 412,000 Ethereum options will expire on Deribit, with Bitcoin’s Put/Call ratio at 0.84, indicating an optimistic market. Ethereum’s ratio is 0.75, also showing a bullish outlook.

Analysts expect increased volatility following these expirations, particularly with low trading volumes over weekends. A key factor to watch is if Bitcoin breaks past $97,000, as it could trigger liquidations of over $800 million in short positions. Conversely, a drop below $94,000 could liquidate $1 billion in long positions.

Despite these movements, investors are advised not to make decisions based solely on the Put/Call ratio, as market conditions can shift quickly.

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The expiration of these options also underscores the growing role of derivatives in crypto markets. With increasing institutional participation, the volume of options contracts tied to Bitcoin and Ethereum is reaching new heights, impacting overall market sentiment.

As expiration dates approach, the potential for sharp price movements becomes more likely, further influencing the decisions of both retail and institutional investors in the coming weeks.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.