The cryptocurrency market is experiencing a series of Bitcoin options expiry events, with today’s expiring at a notional value of $1.35 billion. While this event is relatively smaller compared to previous weeks, it is a prelude to a larger expiry event on June 28, where $6.7 billion in notional value derivatives are set to expire. The put/call ratio for today’s BTC contracts is 0.49, indicating that twice as many long (call) contracts are expiring as shorts (puts). The max pain point is at $68,500, slightly above current spot prices. This level is crucial as it represents the point at which most losses will be incurred.
Despite the market’s quiet nature, bulls are still dominating BTC derivatives, with almost $1 billion in open interest at the $100,000 strike price. Additionally, strike prices of $75,000 and $80,000 have attracted significant open interest, amounting to $723 million and $807 million respectively. Crypto derivatives tooling provider Greeks Live noted that short-term implied volatility for Bitcoin and Ethereum has fallen below 50% and 60% respectively. However, the upcoming Ethereum ETF news later this month could potentially impact market sentiment and volatility.
In addition to Bitcoin options, 200,000 Ethereum options have also expired with a put/call ratio of 0.36, a max pain point of $3,600, and a notional value of $710 million. The total cryptocurrency market capitalization has remained stagnant at $2.57 trillion over the past 24 hours. However, there has been a noticeable 7.5% decline in markets over the past ten days. Bitcoin, currently hovering around $67,000, experienced a slight dip from its previous high of $69,500 earlier in the week. Analysts attribute this decline to Bitcoin miner profit taking.
Chart guru Peter Brandt has highlighted support levels in case of further market declines. Ethereum, on the other hand, has faced a more significant drop this week, falling 7.7% to a four-week low of $3,434 on June 13 before recovering slightly to $3,515. The overall sentiment in the cryptocurrency market has been bearish, with altcoins experiencing even greater declines than mainstream coins. The lack of significant market movements indicates a relatively quiet period, with fewer hot spots driving market activity.
The cryptocurrency market is currently navigating through a series of options expiry events, with Bitcoin and Ethereum facing significant open interest and market sentiment shifts. The recent market declines, coupled with the upcoming Ethereum ETF news, suggest a period of uncertainty and volatility. Analyst predictions and support levels will be key in determining the market’s future direction.
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