A record-breaking $14 billion Bitcoin options expiry is set for Friday, marking the largest such event in the history of Deribit, according to CoinDesk. This expiry, representing 44% of all Bitcoin options open interest across maturities, will occur at 8:00 UTC and is expected to stir up significant market activity. Of this, $4 billion worth of contracts are already in the money (ITM), potentially triggering profit-taking or rollovers into future expiries.
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Ethereum Faces a More Bearish Sentiment
While Bitcoin options remain a focal point, Ethereum’s options tell a different story. Andrew Melville from Block Scholes noted a sharp drop in implied volatility for Ethereum calls, signaling waning demand for bullish bets. The put-call skew ratio tilts more towards puts, pointing to a bearish sentiment in the market.
Uncertainty and Risks Linger
The market remains highly leveraged to the upside, as Deribit’s CEO, Luuk Strijers, highlighted. “The previously dominant bullish momentum has stalled,” Strijers told CoinDesk, warning of potential volatility. Traders now await Friday’s expiry to see if it reshapes the crypto narrative heading into 2025.
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