Crypto Traders Brace For $2B In Bitcoin, ETH, SOL, XRP, MATIC Options Expiry

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Despite any significant factors impacting crypto bullish momentum, traders suddenly took a “wait-and-watch” approach. The move comes primarily in response to the options expiry. Bitcoin and Ethereum prices are trading slightly under selling pressure as traders brace for $2 billion in crypto options expiry on the largest derivatives exchange Deribit.

According to Coinglass data, the crypto market saw $150 million liquidated in the last 24 hours. The largest single liquidation order happened on cryptocurrency exchange OKX as an entity sold ETH to USD valued at $4 million. BTC, ETH, XRP, SOL, WLD, PEPE, DOGE, WIF, ORDI were the most liquidated cryptocurrencies over the past 24 hours.

Over $1.8 Billion In Bitcoin and ETH Options Expiry

The global crypto market cap saw a gradual pullback from $2.41 trillion to $2.35 trillion. However, spot Ethereum ETF launch, Bitcoin Conference, and other events kept investors bullish on further market recovery. The Fear and Greed Index saw a sudden shift from 25 (extreme fear) to 60 (greed) in just a week, indicating high volatility. The market participants have stepped back due to crypto options expiry.

Over 20,670 BTC options with a notional value of $1.33 billion are set to expire today on Deribit. The put-call ratio is extremely high at 1.19 and max pain point is at $62,000. It explains why BTC dropped from $65K to $63K.

However, Bitcoin implied volatility has increased significantly this week and continues to rise amid investors’ optimism. The implied volatility is typically a market’s forecast of a likely movement in price.

BTC implied volatility — Source: The Block

143,391 ETH options with a notional value of $0.49 billion are set to expire, with a put-call ratio of 0.37. The max pain price for Ethereum is at $3,150, below the current ETH price of $3,444. This indicates more room for traders to sell but the anticipated spot Ethereum ETF launch next week is averting a selloff.

Also Read: Binance Traders Open New Bitcoin Short Positions, What’s Ahead?

SOL, XRP, and MATIC Expiry

Meanwhile, linear options tied to Solana (SOL), XRP, and Polygon (MATIC) are also set to expire on Deribit. These linear crypto options expiry is settled in USDC.

5,156 Solana options worth $8.5 million will expire today. The put-call ratio is 0.82 and the max pain point is $145. SOL price is currently trading at $165, up 3% in the last 24 hours and over 20% in a week. Solana ETF speculations have turned investments bullish on it.

3,473 XRP options with a notional value of $1.93 million are set to expire today. The put/call ratio is at 0.70 and max paint price is $0.47. The XRP price fell back to $0.55 from $0.64 after a 40% rally in a week. The community awaits decision in Ripple vs SEC lawsuit.

MATIC options of a notional value of $751,80 will expire, with a put-call ratio of 0.76. The max pain price is at $0.51, which is below the current price at $0.516. Polygon has set MATIC to POL token migration date on September 4.

Also Read: Grayscale Ethereum ETF Mini-Trust Announces Full Fee Waiver Up to This Limit

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