29,000 Bitcoin Options Expires Today: Market Volatility Ahead

Amidst the Bitcoin price rally, the news of 29,000 Bitcoin Options expiring news was sudden and people didn’t realize it was going to happen now. Bitcoin is trading at around $67850 after creating a new ATH. So, how do these Bitcoin options expiring will impact the Bitcoin price and overall market? Let’s discuss that in this blog.

Bitcoin Options Will Expire Today

The market has seen many exceptional performances from cryptos in the last few days, where Bitcoin surpassed ATH, Ethereum is about to hit $4k, and much more. The market was in complete momentum, but these options expiring will impact the dynamic of the crypto market.

Here, 29,000 Bitcoin Options will expire with a Put Call Ratio of 0.86, which might lead to different bearish and bullish sentiments. With a startling notional value of $2 billion, the maximum pain point is computed at $60,000, indicating a critical price point at which the greatest amount of options contracts expire worthless.

At the same time, the market volatility has also hiked the max in the last few years. Bitcoin’s recent fall of 8% after hitting the 69K mark is also associated with the increased volatility.  According to the Greeks.Live, all major-term implied volatilities (IVs) increased significantly, with ultra-short-term IVs topping at 100%.

Where Is Bitcoin Moving Next?

Despite the market volatility and a little setback in Bitcoin price, the whales are still accumulating the crypto. The on-chain data reveals the number of active sharks and whales is still high for BTH.

In contrast, the number of overall non-zero $BTC has seen a downturn, which is attributed to the small traders capitulating. Based on these, many analysts believe this combination will lead to bullish situations.

With the current market situation, there is a chance of Bitcoin moving ahead bullishly, but the recent SEC announcement of Trading Options for BTC ETFs might slow down things. Yesterday (7 March), the SEC postponed the decision on the spot Bitcoin ETF till April 24. Blackrock has requested the approval of the option on Bitcoin spot ETF.

The SEC also delayed rulings on spot Bitcoin ETF options offered by Miax Pearl LLC and Cboe Exchange, Inc. The statement says: –

The Commission finds it appropriate to designate a longer period within which to take action on the proposed rule change so that it has sufficient time to consider the proposed rule change.

Conclusion

29,000 Bitcoin options to expire today. It will lead to fluctuations in the crypto market, especially the Bitcoin prices. Overall, the indicators point to bullish situations. It has to see how the market performs over the next few days. Read more about why Bitcoin price will hit above $70K before halving.