Around 23,000 Bitcoin options contracts, valued at approximately $1.34 billion, are set to expire on Friday, Sept. 13. Today’s options expiry is nearly double the size of last week’s event, potentially exerting a greater impact on the subdued crypto spot markets.
### Bitcoin Options Expiry
This week’s batch of Bitcoin options contracts has a put/call ratio of 0.86, indicating a slight dominance of long (call) contracts over shorts (puts). However, they are relatively balanced. Open interest remains high with significant strike prices of $70,000 and $75,000, holding $627 million and $638 million in OI, respectively, according to Deribit. Additionally, there is around $751 million in OI at the $90,000 strike price and a substantial $930 million at the $100,000 strike price.
Crypto derivatives provider Greeks Live noted the week was “coming to a smooth end,” as the US presidential debate and various macro data such as CPI did not induce significant volatility. They added that Fed rate cut expectations for next week are converging. The CME Fed Watch tool indicates an 87% probability of a 25 basis points rate cut next week, with only a 13% chance of a 50 bps cut.
> “Meanwhile, options data shows a significant decline in IVs [implied volatility] across all major terms, with market volatility expectations falling short and the market theme for September still oscillating.”
In addition to this week’s Bitcoin options, around 126,700 Ethereum options are expiring, carrying a notional value of $299 million. These contracts have a put/call ratio of 0.73, similar to last week’s expiry. The Bitcoin Fear and Greed Index remains in “fear” territory at 32, indicating market sentiment is still weak.
### Crypto Market Outlook
The total market capitalization has remained flat over the past 24 hours at $2.13 trillion. Bitcoin has fluctuated between an intraday low of $57,300 and around $58,400, struggling to break resistance. However, it has recovered from its Sept. 7 low below $54,000 and remains within a tight range. Ethereum is also trading within a narrow range of $2,320 to $2,360 for most of this week. Altcoins are mostly in the red, with only XRP and Toncoin (TON) making gains of around 3%.
> Sept. 13 Options Data
> 23,000 BTC options are about to expire with a Put Call Ratio of 0.87, a Maxpain point of $58,000 and a notional value of $1.34 billion.
> 127,000 ETH options are due to expire with a Put Call Ratio of 0.73, a Maxpain point of $2,400 and a notional value of… pic.twitter.com/tgmBzxZqan
> — Greeks.live (@GreeksLive) September 13, 2024
