Expiry Details:
Bitcoin (BTC):
- According to Deribit, 21,664 Bitcoin contracts with a notional value of approximately $2.2 billion are expiring.
- The put/call ratio stands at 0.94, indicating optimistic sentiment among traders.
- The maximum pain point is $96,000, where the majority of contracts would become unprofitable.
Ethereum (ETH):
- 182,454 Ethereum contracts with a notional value of $612.2 million are expiring.
- The put/call ratio for these options is 0.36, also reflecting bullish market sentiment.
- The maximum pain point is $3,250.
Market Impact:
The expiration of options often leads to increased price volatility, so traders and investors are advised to closely monitor developments. Low put/call ratios for Bitcoin and Ethereum suggest that most traders anticipate price increases, reflecting positive market sentiment.
Factors Influencing the Market:
- Bitcoin’s rise above $100,000 coincides with expectations surrounding Donald Trump’s inauguration, who has previously expressed support for cryptocurrencies.
- Analysts link this to anticipated favorable changes in policies toward the crypto industry.
In an environment of heightened uncertainty associated with options expiration and political events, market participants should exercise caution and account for potential price fluctuations.
