Today, January 3, a huge $2.6 billion worth of Bitcoin (BTC) and Ethereum (ETH) options contracts will expire, causing some potential market movements. Out of this, Bitcoin’s options are worth $2.15 billion, and Ethereum’s options total $453 million. Given the recent price changes, this expiry could influence how both assets move in the short term.
Bitcoin Options Expiry
Bitcoin is seeing 20,000 options contracts worth $2.15 billion expire today. While this is much lower than last week’s $88,537 contracts, it could still cause some price movements. With more long contracts (calls) than short contracts (puts), the market sentiment for Bitcoin remains mostly positive.
Bitcoin’s open interest, which refers to the number of contracts that have not yet expired, is highest at the $120,000 level. This suggests that many traders are expecting Bitcoin to climb higher.
Meanwhile, the key price to watch is $97,000, as this could show the next direction for Bitcoin.
$453 Million Ethereum’s Options Expiry
In addition to Bitcoin, Ethereum has 1,323,745 expiring options contracts worth $453 million. The put-to-call ratio of 0.33 suggests more traders are expecting price rises. The maximum pain price for Ethereum is $3,400, which means we might see the price move toward that level. Ethereum has been doing well lately, but it needs to break through $3,600 to keep moving up.
What’s Next for Bitcoin and Ethereum?
With this massive expiry, the market could see some price changes for both Bitcoin and Ethereum, especially given the recent price swings. Bitcoin is close to $97,000 and could go higher if it clears that resistance.
Ethereum is also seeing gains and is approaching $3,430. However, for both to continue their rise, they need to break through key resistance levels.
