Around 25,000 Bitcoin options contracts will expire on Friday, Jan. 16, with a notional value of roughly $2.4 billion.\u00a0This expiry event is slightly larger than last week\u2019s, but derivatives trading remains slow, so there is unlikely to be any impact on spot markets.<\/p>\n
Crypto markets have gained around $130 billion since the start of the week, with the majors hitting two-month highs despite the delay<\/a> of the Senate markup for the market structure legislation in the United States.<\/p>\n This week\u2019s tranche of Bitcoin options contracts has a put\/call ratio of 1.2, meaning that expiring calls (longs) are slightly lower in number than puts (shorts). Max pain is around $92,000, according to Coinglass, which is pretty close to the current spot prices, so many will be in the money on expiry.<\/p>\n Open interest (OI), or the value or number of Bitcoin options contracts yet to expire, remains highest at $100,000, which has $2.2 billion at this strike price on Deribit. There remains around $1.2 billion in OI at $75,000 as bears continue to short the asset.<\/p>\n Total BTC options OI across all exchanges is still climbing and is at $39 billion.<\/p>\n Despite Bitcoin\u2019s return to $97,000, futures volume did not see a significant increase, and the implied volatility (IV) for major expiries did not rebound substantially, reported<\/a> Greeks Live this week.<\/p>\n \u201cThe derivatives market has not yet entered a structurally bullish phase. The current trading structure appears more like a reactive response to the sudden surge, with the long-term outlook still not shifting toward a bull market.\u201d<\/p>\n In addition to today\u2019s batch of Bitcoin options, around 131,000 Ethereum contracts are also expiring, with a notional value of $436 million, max pain at $3,200, and a put\/call ratio of 1. Total ETH options OI across all exchanges is around $9 billion.<\/p>\n This brings the total crypto options expiry notional value to around $2.83 billion.<\/p>\n Total market capitalization has dipped a little over the past 24 hours to $3.32 trillion, but was still up 4% since the same time last week.<\/p>\n Bitcoin hit<\/a> $97,000 twice on Thursday, but resistance was too heavy, resulting in a fall back to $95,670 during the Friday morning Asian trading session.\u00a0Ether had a similar move just shy of $3,400 but also retreated to trade at a little over $3,300 at the time of writing.<\/p>\n The altcoins were mostly in the red, aside from Tron with a 2.4% gain. XRP, Dogecoin, Cardano, and Monero were seeing larger losses.<\/p>\n The post Will Markets React to $2.8B Crypto Options Expiry Event?<\/a> appeared first on CryptoPotato<\/a>.<\/p>","protected":false},"excerpt":{"rendered":" Around 25,000 Bitcoin options contracts will expire on Friday, Jan. 16, with a notional value of roughly $2.4 billion.\u00a0This expiry event is slightly larger than last week\u2019s, but derivatives trading remains slow, so there is unlikely to be any impact on spot markets. Crypto markets have gained around $130 billion since the start of the […]<\/p>\n","protected":false},"author":0,"featured_media":127585,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-127584","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-discovery"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/127584"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=127584"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/127584\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/media\/127585"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=127584"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=127584"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=127584"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Bitcoin Options Expiry<\/h2>\n
Spot Market Outlook<\/h2>\n