Will Crypto Markets See New Peaks as $3.7B Bitcoin Options Expire Today?
Bitcoin options worth $3.7 billion expire today, potentially impacting crypto markets as Bitcoin and Ethereum continue to show strong gains.
Overview of Bitcoin Options Expiry
On Friday, November 8, approximately 48,700 Bitcoin options contracts are set to expire, carrying a notional value of around $3.7 billion. This expiry is significantly larger than last week's and comes amid a period of heightened market activity and volatility, largely influenced by Donald Trump's recent presidential victory in the United States.
Details on Bitcoin Options
The current batch of Bitcoin options has a put/call ratio of 0.72, indicating that there are more long (call) contracts than short (put) contracts expiring. Notably, the highest open interest (OI) is at the $80,000 strike price, amounting to $1.7 billion in OI, according to data from Deribit.
Crypto derivatives provider Greeks Live has noted that the election-related market is cooling off, with strong gains observed in both Bitcoin and Ethereum. They remarked that the options market is witnessing noticeable profit-taking as it transitions away from the election period.
Ethereum Options Expiry
Alongside Bitcoin options, about 294,000 Ethereum options contracts are also set to expire, with a put/call ratio of 0.65 and a total notional value of $850 million. This brings the combined notional value of all crypto options expiring on Friday to approximately $4.5 billion.
Market Momentum Following US Elections
The cryptocurrency market momentum has continued following the U.S. election results. The total market capitalization has reached $2.67 trillion, marking its highest level in five months. Bitcoin recently hit a new all-time high of $76,872 on November 7, following a 0.25% interest rate cut by the Federal Reserve, resulting in nearly 22% gains over the past 30 days.
Ethereum has also seen significant movement, reaching an intraday high of $2,950, reflecting a 15% increase over the past week. While many altcoins are stabilizing after recent rallies, Solana (SOL) and Cardano (ADA) are notable exceptions, posting daily gains of 5% and 14%, respectively.
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