The data shows that approximately 29,000 Bitcoin options contracts, valued at more than $1.13 billion, are about to expire, along with around 230,000 Ethereum options contracts valued at $470 million.
These maturities have become the focus of attention, marking a stage of possible change in market dynamics.
🌿1 Dec Options Data
29,000 BTC options are about to expire with a Put Call Ratio of 0.58, a Maxpain point of $37,000 and a notional value of $1.13 billion.
230,000 ETH options are due to expire with a Put Call Ratio of 0.49, a Maxpain point of $2,100 and a notional value of $470… pic.twitter.com/jDXlXFeSPy
— Greeks.live (@GreeksLive) November 30, 2023
The focus is on volatility, which has decreased significantly in the cryptocurrency market this week.
Although Bitcoin has reached $38,000 on multiple occasions following last week’s monthly delivery, it has failed to hold in that price range, suggesting notable resistance at that level.
These events are affecting investor confidence, with a decreasing number of people optimistic about near-term growth.
Expectations now focus on possible approvals of ETF contracts for January
Key indicators show a low put/call ratio for both Bitcoin (0.58) and Ethereum (0.49), suggesting increased interest in calls rather than puts.
This phenomenon is reflected in the “max pain” points, which are located near the current strike price levels, indicating possible areas where the greatest losses are expected at expiration.
The decline in the option skew, a measure of the difference between the implied volatilities of out-of-the-money options and at-the-money options, signals a gradual shift in market sentiment toward a more dovish outlook.
In the current scenario, the cryptocurrency market shows moderate growth, with Bitcoin hovering around $38,000 and Ethereum surpassing $2,000.
Although the focus is on these prices, uncertainty about their short-term sustainability seems to be fueling caution among investors.