- 18,000 Bitcoin options with a $1.2 billion total notional value are about to expire, which might have an effect on market dynamics.
- According to recent data, there has been a surge in Bitcoin activity, with prices climbing and whales making significant purchases.
A large number of Ethereum (ETH) and Bitcoin (BTC) options are about to expire, so the cryptocurrency market is getting ready for a big event.
Some 18,000 BTC options with a nominal value of $1.2 billion and 280,000 ETH options valued at about $800 million are getting close to expiring, according to Greeks.live, a platform watched by a seasoned options trader.
With ETH options having a Maxpain point of $3,050 and a Put Call Ratio (PCR) of 0.74, this impending expiration marks a critical turning moment in the market.
May 10 Options Data
18,000 BTC options are about to expire with a Put Call Ratio of 0.64, a Maxpain point of $62,000 and a notional value of $1.2 billion.
280,000 ETH options are about to expire with a Put Call Ratio of 0.74, Maxpain point of $3,050 and a notional value of $800… pic.twitter.com/lurrMvi8cO— Greeks.live (@GreeksLive) May 10, 2024
Current Situation of the Bitcoin Market
The last week has seen indications of deterioration in the cryptocurrency markets. Even with a decline in outflows from the U.S. Bitcoin ETF, trading volumes are still falling, and market confidence is still generally low.
Implied volatility (IV) has fallen along with the declining price; it is currently somewhat below average levels, indicating that there is not much more room for volatility reductions at this time.
May has traditionally shown to be a difficult month for the bitcoin market. As Greeks.live advises, buying monthly puts may be a good value given the state of the market and past statistics. With this approach, investors might be protected against the anticipated declines in prices in the next few weeks.
Movements of ETFs and Their Effects on the Market
Popular crypto journalist Colin Wu pointed up recent SoSoValue statistics that demonstrate divergent trends in Bitcoin spot ETFs.
According to SoSoValue, the total net outflow of Bitcoin spot ETF yesterday, May 9, was US$11.2853 million. Grayscale ETF GBTC had a single-day net outflow of US$43.3522 million, and BlackRock ETF IBIT had a single-day net inflow of US$14.1946 million. https://t.co/OkjFkXsACa
— Wu Blockchain (@WuBlockchain) May 10, 2024
On May 9, the BlackRock ETF (IBIT) witnessed a net inflow of $14.1946 million, compared to the Grayscale ETF (GBTC), which saw a net outflow of $43.3522 million. Variations in investor mood are reflected in these swings, which may also suggest different predictions for the future course of the BTC price.
Price Trends and Whale Activity
Amidst these developments, the price of BTC is currently $62,892.19, up 2.91% in the last 24 hours and 6.18% in the last week, according to CoinMarketCap.
As previously reported by ETHNews, recent actions by “whales,” or significant investors, who have accumulated almost $941 million in Bitcoin, have further bolstered these encouraging developments.
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