Critical Day for These 2 Major Cryptocurrencies: Here's What Will Happen!

The cryptocurrency market is moving towards closing the week with more altitude loss. Especially Bitcoin and Ethereum draw attention with daily losses of up to 3%. In addition, today is quite critical for these two cryptocurrencies. Because approximately 1.96 billion dollars worth of Bitcoin and Ethereum options will expire. This will create significant expectations in the cryptocurrency market. It is possible that the expiration of crypto options may lead to significant price fluctuations. Therefore, traders and investors are closely monitoring the developments.

Bitcoin and Ethereum options are expiring: What will happen?

As you follow from Kriptokoin.com, the market fell after moving back and forth during the week. While the leading crypto Bitcoin fell below 65,000 dollars, the leading altcoin Ethereum lost 3,500 dollars. The nominal value of Bitcoin options expiring today is 1.27 billion dollars. The put/call ratio of these 19,712 expiring contracts is 0.46. In addition, the maximum pain point for BTC is 66,500 dollars.

Expired Bitcoin Options. Source: DeribitIn the context of option trading, the maximum pain point represents the price level that causes maximum financial pain for option holders. Meanwhile, the put-call ratio indicates that call options are more prevalent than put options. On the other hand, Ethereum has 197,068 contracts with a nominal value of $693.37 million. The put/call ratio of these expiring contracts is 0.30 and the maximum pain point is $3,500.

Expired Ethereum Options. Source Deribit### Is the cryptocurrency market preparing for a recovery?

Analysts at Greeks.Live have recorded an increase in futures and options volume, particularly in block calls. Despite high realized volatility (RV), implied volatility (IV) remained steady. This indicates that a major movement in the market is not expected before the three-month delivery. Greeks.Live analysts say that the third quarter is generally challenging for the crypto market. However, they note that the market has recovered by the end of the quarter. In this context, analysts say, 'The trend in the second quarter of this year was weaker, consistent with past experiences.'

This week, while Bitcoin fluctuated between $64,258 and $66,782, Ethereum traded in the range of $3,387 to $3,632. At the time of writing, Bitcoin is trading at $64,316, experiencing a 4.22% decrease in the past seven days. Ethereum, on the other hand, changed hands at $3,480 with a 1.3% loss on the weekly chart. The expiration of options may cause temporary market disruptions, but it generally leads to stability. The latest views of analysts highlight historical patterns that investors can consider when strategizing their positions. Ultimately, investors should stay vigilant by analyzing technical indicators and market sentiment to effectively manage expected volatility.

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