Today, January 3, $2.6 billion worth of Bitcoin (BTC) and Ethereum (ETH) options contracts expire, creating a potential market move. Of these, Bitcoin options total $2.15 billion and Ethereum options total $453 million. Given recent price changes, this expiration could impact how both assets perform in the near term.
Bitcoin Options Expiration
Bitcoin is seeing 20,000 options contracts worth $2.15 billion expiring today. This is significantly lower than last week’s $88,537 contract, but price movement is still possible. Market sentiment for Bitcoin remains positive as there are more long-term contracts (calls) than short-term contracts (puts).
Bitcoin’s open interest, which refers to the number of contracts that have not yet expired, is the highest at around $120,000. This suggests that many traders expect Bitcoin to rise further.
Meanwhile, the key price to watch is $97,000, which could show Bitcoin’s next direction.
$453 million worth of Ethereum options expire
In addition to Bitcoin, Ethereum has 1,323,745 expiring options contracts worth $453 million. A put-call ratio of 0.33 indicates that more traders are expecting the price to rise. The maximum pain price for Ethereum is $3,400, which means the price could move towards that level. Ethereum has been performing well recently, but it needs to break above $3,600 to continue its rise.
What’s next for Bitcoin and Ethereum?
Due to these large expirations, the market could see some price movement for both Bitcoin and Ethereum, especially considering recent price movements. Bitcoin is near $97,000 and could rise further if it clears resistance.
Ethereum is also showing an upward trend and is approaching $3,430. However, both will need to break a key resistance level to continue rising.