Inflation News Drives Nearly $4.6 Billion Bitcoin (BTC) and Ethereum (ETH) Options Expiry
Inflation News and its Impact on Bitcoin & Ethereum Options Expiry
The crypto market is bracing for heightened volatility as nearly $4.6 billion worth of Bitcoin (BTC) and Ethereum (ETH) options expire today. This event comes after the US elections and the Federal Open Market Committee (FOMC) meeting, which have been the driving forces behind current Bitcoin sentiment.
Key Expiry Details
- According to data from Deribit, 48,794 Bitcoin options contracts worth approximately $3.7 billion will expire on November 8.
- These contracts have a put-to-call ratio of 0.72 and a maximum pain point of $69,000.
- In a similar vein, Ethereum’s options market is set to expire with 294,380 contracts worth $854.88 million.
- Today's expiring Ethereum contracts have a put-to-call ratio of 0.65, with a maximum pain point of $2,500.
Understanding Maximum Pain Point
In options trading, the maximum pain point is the level at which option holders would suffer the largest losses. It represents the price at which the highest number of options (both calls and puts) would expire worthless, causing maximum financial damage.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.