Bitcoin options totaling approximately $1.2 billion expired on Friday, July 17, as the cryptocurrency remained range-bound between $60,000 and $65,000 for over a month. The expiration saw 19,000 contracts with a put-call ratio of 0.9 and a maximum pain point of $63,000.
For Ethereum, 123,000 options worth around $230 million also expired at the same time, with a put-call ratio notably higher at 1.61, indicating stronger demand for puts. Ethereum's maximum pain point was recorded at $1,800, demonstrating a clear preference amongst traders for downside protection.
Recent data from Greeks.live highlighted a trend in Bitcoin trading that has persisted amid subdued market volatility. Bullish block trades have increased slightly, but overall options activity has remained muted. The expired options represent only about 5% of the outstanding total, while open interest has seen a mild decline due to fewer short-term trading prospects. Greeks.live indicated that Bitcoin's gamma exposure was clustered around the $64,000 and $70,000 strike levels, whereas Ethereum's exposure spanned a broader range from $1,825 to $2,000.
The put-call ratio for Ethereum has now exceeded 1 for an entire month, reflecting prevailing hesitance among traders. Additionally, the latest expiry follows multiple weeks of cautious derivatives positioning, with previous expirations totaling around $1.75 billion and $1.9 billion on the 10th and 3rd of July, respectively. In those weeks, Bitcoin's maximum pain point was $62,000, while Ethereum showed increasing demand for protective puts with ratios of 1.26 and 1.29.
In summary, this heavy expiration in options for both Bitcoin and Ethereum might influence trading strategies moving forward. Traders remain divided, particularly for Ethereum, as they position themselves for potential market movements in the coming days.
This material is informational and should not be considered financial advice.
