Tomorrow marks an important milestone for the cryptocurrency market as it anticipates a year-end rush. Bitcoin (BTC) and Ethereum (ETH) Expiring options on the Deribit exchange total $11 billion. This significant event consists of options worth $7.7 billion in Bitcoin and $3.5 billion in Ethereum.
Luuk Strijers, Deribit’s chief commercial officer, emphasized the seriousness of this maturity in an interview with Coindesk, calling it Deribit’s most significant maturity to date. He emphasized shifting focus to the Bitcoin spot market after expiration and the highly anticipated ETF decision.
Examining options data, BTC’s put/call ratio is 0.66, indicating a potential downside limit of $33,000. Conversely, the put/call ratio for ETH options remains at 0.50, indicating a maximum loss point of $1,900.
Market analyst Chang discussed these maximum loss point levels (MPP), predicting prices to remain stable until expiration. He described BTC’s MPP as around $33,000 and ETH’s MPP as around $1,900, suggesting minimal movement towards these levels in the near term.
The put/call ratio, calculated by comparing put and call options, is indicative of market sentiment. A ratio below 1 indicates a bullish trend (0.66 for BTC and 0.50 for ETH), while a ratio above 1 indicates a bearish trend.
Despite these ratios indicating an upward trend for BTC and ETH, the impact on the prices is still uncertain considering the various data and signals. Analysts expect the impact of these rates to be reflected in the market in the coming days as expiration events unfold.