$2.7 billion worth of Bitcoin and Ethereum options set to expire

About $2.7 billion worth of Bitcoin and Ethereum options are set to expire on May 24, providing valuable insight into cryptocurrency market sentiment.

According to a post by Greeks.live on This indicates a roughly even balance between buyers and sellers, with a slight tilt towards call options.

Meanwhile, the maximum pain point, which represents the price at which most option buyers will lose money, is $67,000, equivalent to a notional value of $1.4 billion.

The upcoming expiration of 21,000 contracts is noteworthy, but it’s nothing compared to the much bigger event on May 31, when $4.3 billion worth of options are scheduled to expire, as reported by Deribit.

According to Deribit data, long positions are primarily in control when it comes to open interest (OI), with $830 million tied up at the $70,000 strike price.

Moreover, the high strike price boasts significant OI, especially from $100,000 to $843 million, indicating a bullish disposition among traders. The $60,000 strike price, with open interest of $388 million, is the most notable price for the put contract.

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This substantial OI indicates that many contracts are still outstanding, and since open interest represents the outstanding value of contracts waiting for settlement, it indicates that the bulls are confident of a much higher Bitcoin price.

Option expiration events are not limited to Bitcoin. That’s because a significant 350,000 Ether (ETH) contracts are also expiring, with a notional value of $1.3 billion. A put/call ratio of 0.58 and a top problem at $3,200 suggest a slightly bullish mood, with more call options expiring than puts.

According to a report by Greeks.live, Ethereum has taken the lead in the cryptocurrency rally, up 20% in a single day, inspired by recent ETF progress. Short-term options implied volatility (IV) once reached 150%, which is significantly higher than Bitcoin’s current IV over the same period.

But now the differences between Bitcoin and Ethereum are clear. Ethereum’s bullish mood remains strong, but in terms of overall market trading and market structure, maintaining high IV levels for each key period is difficult.

This suggests that a calendar spread may be a better choice. In contrast, Bitcoin appears to be more balanced between long and short positions, with strong sell call forces.

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