This Friday marks a significant day for Bitcoin options, as a substantial batch is set to expire.<\/p>\n\n\n\n
With Bitcoin reaching $64,000 earlier in the week, the question arises: will the imminent expiry influence Bitcoin’s value to climb further or lead to a market downturn?<\/p>\n\n\n\n
Approximately 32,200 Bitcoin options contracts are due to expire on March 1, making it the second-largest expiry of the month. A more significant expiry, valued at over $6 billion, is anticipated at the month’s close.<\/p>\n\n\n\n
Today’s Bitcoin options set to expire hold a notional value of nearly $1.96 billion, as reported by the crypto derivatives platform Deribit.<\/p>\n\n\n\n
Significant Day for Bitcoin Options<\/p>\n\n\n\n
The put-to-call ratio stands at 1.49, indicating a higher number of short contract (put) sellers compared to those holding long contracts (calls). This ratio suggests a market sentiment geared towards a potential correction, with the max pain point\u2014a price level where the most significant losses occur upon expiry\u2014set at $55,000.<\/p>\n\n\n\n
The strike price of $60,000 is particularly critical, boasting 15,329 calls and a notional value of $934 million, exhibiting a put\/call ratio of 0.20. This shows a strong bullish sentiment over those betting against it at this price level.<\/p>\n\n\n\n
Interest is also high for the $65,000 strike price, with 14,137 calls valued at $861 million, as per Deribit’s data.<\/p>\n\n\n\n
Bitcoin’s open interest (OI) by expiry. Source: Deribit<\/p>\n\n\n\n
Deribit observed a record peak in open interest, which exceeded $29 billion on Feb. 29. Open interest represents the total outstanding derivative contracts, like options or futures, not yet settled.<\/p>\n\n\n\n
Deribit highlighted, “Our 24-hour trading volume reached a new all-time high of $12.4 billion this morning.”<\/p>\n\n\n\n
Greeks Live, a provider of crypto derivatives software, noted its clients traded options worth $620 million on Feb. 29, setting a new record for the platform.<\/p>\n\n\n\n
Besides the significant number of Bitcoin options expiring, 235,000 Ethereum contracts will also expire, with a notional value of $793 million and a more balanced put\/call ratio of 0.88, indicating a closer match between long and short sellers.<\/p>\n\n\n\n
Outlook on Crypto Market<\/p>\n\n\n\n
The crypto market has seen a slight downturn, with its total capitalization at $2.37 trillion currently.<\/p>\n\n\n\n
Bitcoin has decreased to $60,878 at present, with further corrections anticipated. Ethereum has also seen a decrease to $3,372, mirroring Bitcoin’s movements as the market stabilizes following a week of gains.<\/p>\n\n\n\n
The options expiry is not expected to significantly affect the spot markets, which seem poised for a correction.<\/p>","protected":false},"excerpt":{"rendered":"
This Friday marks a significant day for Bitcoin options, as a substantial batch is set to expire.<\/p>","protected":false},"author":1,"featured_media":4570,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[18],"tags":[50,44,32],"class_list":["post-4569","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-bitcoin","tag-blockchain","tag-crypto"],"_links":{"self":[{"href":"https:\/\/stoneblock.hr\/hr\/wp-json\/wp\/v2\/posts\/4569","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/stoneblock.hr\/hr\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/stoneblock.hr\/hr\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/stoneblock.hr\/hr\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/stoneblock.hr\/hr\/wp-json\/wp\/v2\/comments?post=4569"}],"version-history":[{"count":1,"href":"https:\/\/stoneblock.hr\/hr\/wp-json\/wp\/v2\/posts\/4569\/revisions"}],"predecessor-version":[{"id":4571,"href":"https:\/\/stoneblock.hr\/hr\/wp-json\/wp\/v2\/posts\/4569\/revisions\/4571"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/stoneblock.hr\/hr\/wp-json\/wp\/v2\/media\/4570"}],"wp:attachment":[{"href":"https:\/\/stoneblock.hr\/hr\/wp-json\/wp\/v2\/media?parent=4569"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/stoneblock.hr\/hr\/wp-json\/wp\/v2\/categories?post=4569"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/stoneblock.hr\/hr\/wp-json\/wp\/v2\/tags?post=4569"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}