$2 Billion Crypto Options Expiry to Bring Volatility

The cryptocurrency market is bracing for short-term volatility today as a significant amount of options are set to expire. According to data from Deribit, approximately $2.1 billion worth of Bitcoin and Ethereum options contracts will close.

Bitcoin options make up the majority of this figure, with around $1.7 billion in contracts expiring today. This includes nearly 23,000 contracts with a put-call ratio of 0.96, indicating slightly balanced market sentiment.

A crucial level to watch is Bitcoin's 'max pain' point near $70,000. This price may attract attention as markets often move towards this level during expiry events. Additionally, spot Bitcoin ETFs have seen outflows of $253.7 million for two consecutive days, suggesting that some investors are withdrawing funds in the short term.

Ethereum is also part of today's expiry event, with approximately $370 million worth of options contracts closing. The max pain level for Ethereum stands near $2,150 and may act as a magnet for price movement as expiry approaches.