Chair

Bitcoin

Swing

<p>The <a href="https://coingape.com/price/bitcoin" target="_blank" rel="noopener noreferrer nofollow">Bitcoin (BTC) price</a> has bounced back once again by 4% in the last 24 hours moving closer to $60,000, ahead of the weekly Bitcoin options expiry. However, the positioning of the options market shows that it could be a dull summer in the derivatives market.</p>
<h3 id="23-000-bitcoin-options-to-expire">23,000 Bitcoin Options to Expire</h3>
<p>Greeks.Live reports that 23,000 BTC options are on the verge of expiry, accompanied by a Put Call Ratio of 0.49. These options represent a notional value of $1.4 billion, with a Maxpain point positioned at $61,000.</p>
<p>Despite the recent listing of <a href="https://coingape.com/hong-kong-bitcoin-and-ethereum-etf-record-only-12-million-volume-on-day-1/" target="_blank" rel="noopener noreferrer nofollow">Bitcoin ETFs in Hong Kong</a> failing to stimulate significant volume, outflows persist from US BTC ETFs. This market weakness has contributed to a decline in overall market confidence. Additionally, the Implied Volatility (IV) across major terms is on a downward trend, currently sitting at the average level observed during the winter bull market.</p>
<blockquote class="twitter-tweet" data-width="550" data-dnt="true">
 <p lang="en" dir="ltr">May 3 Options Data<br>23,000 BTC options are about to expire with a Put Call Ratio of 0.49, a Maxpain point of $61,000 and a notional value of $1.4 billion. <br>330,000 ETH options are due to expire with a Put Call Ratio of 0.36, Maxpain point of $3,000 and notional value of $1… <a href="https://t.co/mEA4PV98C3" rel="noopener noreferrer nofollow">pic.twitter.com/mEA4PV98C3</a></p>
 <p>— Greeks.live (@GreeksLive) <a href="https://twitter.com/GreeksLive/status/1786207363227398515?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">May 3, 2024</a></p>
</blockquote>
<p><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script></p>
<p>Despite these challenges, there are indications of support, making the current buying sentiment a prudent choice. However, the prolonged period of sideways trading is unlikely to persist, with a potential absence of a rebound leading to downward pressure.</p>
<p>Bitcoin implied volatility has experienced a notable decrease since mid-April. Data from The Block’s Data Dashboard illustrates this trend, with the implied volatility of bitcoin at-the-money options declining from over 77% to under 60% across various expiration periods, including one-week, one-month, and multi-month expiries.</p>
<figure id="attachment_194920" aria-describedby="caption-attachment-194920" style="width: 100%" class="wp-caption aligncenter"><img decoding="async" class="size-full wp-image-194920" src="https://coingape.com/wp-content/uploads/2024/05/Bitcoin-Options-Implied-Volatility.jpg" alt="" width="554" height="366" srcset="https://coingape.com/wp-content/uploads/2024/05/Bitcoin-Options-Implied-Volatility.jpg 554w, https://coingape.com/wp-content/uploads/2024/05/Bitcoin-Options-Implied-Volatility-300x198.jpg 300w, https://coingape.com/wp-content/uploads/2024/05/Bitcoin-Options-Implied-Volatility-150x99.jpg 150w" sizes="(max-width: 554px) 100vw, 554px">
 <figcaption id="caption-attachment-194920" class="wp-caption-text">
  Courtesy: <a rel="noopener noreferrer nofollow" href="https://www.theblock.co/data/crypto-markets/options/btc-atm-implied-volatility" target="_blank">The Block</a>
 </figcaption>
</figure>
<p>On the other hand, top lawmakers have recently joined the bandwagon urging the U.S. Securities and Exchange Commission to approve <a href="https://coingape.com/bitcoin-news-us-lawmakers-push-sec-chair-to-greenlight-btc-etf-options/" target="_blank" rel="noopener noreferrer nofollow">options for Bitcoin ETFs</a>. In a communication addressed to SEC Chair Gary Gensler on Wednesday, Representatives Wiley Nickel (D-N.C.) and Mike Flood (R-Neb) highlighted the SEC’s approval of spot Bitcoin ETFs in January, which has since attracted billions of dollars in investments.</p>
<h3 id="eth-options-snapshot">ETH Options Snapshot</h3>
<p>Similar to Bitcoin, 330,000 ETH options are set to expire, featuring a Put Call Ratio of 0.36, a Maxpain point at $3,000, and a notional value totaling $1 billion. Similar to Bitcoin’s IV, the implied volatility of Ethereum ATM options has notably decreased since mid-April.</p>
<p>This decline in Ethereum IV suggests that traders anticipate a reduction in price volatility as they await regulatory clarity on Ethereum’s status in the U.S.</p>
<p>The post <a href="https://coingape.com/23000-bitcoin-options-set-to-expire-today-where-will-btc-price-swing-next/" rel="noopener noreferrer nofollow">23,000 Bitcoin Options Set to Expire Today, Where Will BTC Price Swing Next?</a> appeared first on <a href="https://coingape.com" rel="noopener noreferrer nofollow">CoinGape</a>.</p>

23,000 Bitcoin Options Set to Expire Today, Where Will BTC Price Swing Next?

Table of Contents

Coingape News Media

Other articles published on May 3, 2024

Pensioners Eye Crypto in $4.7tn Opportunity: Fidelity

Unveiling Sealana (SEAL): The Latest Solana (SOL) Meme Coin Set to Skyrocket in the Crypto Market

Impact of Crypto Options Expiry on Market Dynamics

Ethereum was a ‘major disappointment’ amid Bitcoin-led cycle, economist weighs in

Toncoin Up More Than 10% In 24 hours

SEC Delays Verdict on 7RCC Bitcoin and Carbon Credit Futures ETF

Join our free newsletter for daily crypto updates!