With approximately 20,000 Bitcoin options expiring today, the notional value stands at $1.35 billion. Despite the significant amount, the impact on the market is anticipated to be minimal due to the comparatively smaller size of this expiry event. However, investors are closely watching the looming Bitcoin options expiry on June 28, with a massive $6.7 billion in notional value derivatives set to expire. The current put/call ratio of 0.49 indicates that the number of long (call) contracts expiring outweighs short (puts) contracts. The max pain point of $68,500 is slightly higher than the current spot prices, signifying the level at which most losses are expected to occur. The prevailing dominance of bulls in BTC derivatives is evident with almost $1 billion in open interest at the $100,000 strike price on Deribit. Furthermore, strike prices of $75,000 and $80,000 have also attracted a substantial amount of open interest, with $723 million and $807 million respectively.
Despite significant macroeconomic data releases in the United States, the crypto market has shown an underwhelming performance. Mainstream coins have experienced declines, and altcoins have suffered even more. The market currently lacks hot spots, resulting in a relatively quiet trading environment. Short-term implied volatility for Bitcoin and Ethereum has dipped below 50% and 60% respectively. However, market sentiment and volatility may be influenced by the upcoming Ethereum ETF news later this month. In addition to the Bitcoin options expiry, 200,000 Ethereum options have also expired, with a put/call ratio of 0.36, a max pain point of $3,600, and a notional value of $710 million.
Over the past 24 hours, there has been little change in total market capitalization, which remains stable at $2.57 trillion. However, the overall market has experienced a decline of 7.5% over the past ten days. Bitcoin’s price was around $67,000 in early trading on Friday, following a recent drop from approximately $69,500 earlier in the week. Analysts attribute the decline to Bitcoin miner profit-taking activities. Chart analyst Peter Brandt has highlighted key support levels in case of further market downturns. On the other hand, Ethereum has faced more significant losses this week, dropping 7.7% to reach a four-week low of $3,434 on June 13 before recovering slightly to $3,515.
The expiry of Bitcoin and Ethereum options plays a crucial role in shaping market sentiment and price movements. Investors are closely monitoring these events to gauge the future direction of the crypto market amidst ongoing volatility and concerns about a potential market downturn.