{"id":16258,"date":"2024-08-01T23:55:13","date_gmt":"2024-08-02T03:55:13","guid":{"rendered":"https:\/\/sikaoer.com\/crypto-market-faces-3-billion-options-expiry-post-fomc-meeting\/"},"modified":"2024-08-01T23:55:13","modified_gmt":"2024-08-02T03:55:13","slug":"crypto-market-faces-3-billion-options-expiry-post-fomc-meeting","status":"publish","type":"post","link":"https:\/\/sikaoer.com\/crypto-market-faces-3-billion-options-expiry-post-fomc-meeting\/","title":{"rendered":"Crypto Market Faces $3 Billion Options Expiry Post-FOMC Meeting"},"content":{"rendered":"
\n<\/p>\n
The crypto market braces for significant movements as nearly $3 billion in Bitcoin and Ethereum options expire today.<\/strong><\/p>\n With substantial contracts and maximum pain points identified, how will these expiring options affect the market\u2019s volatility?<\/p>\n According to Deribit data, approximately $2.34 billion in Bitcoin options are set to expire today. The maximum pain point for these options stands at $66,000, accompanied by a put-to-call ratio of 0.58. This expiration includes 36,732 contracts, which is notably fewer than last week\u2019s 61,320 contracts.<\/p>\n Additionally, Ethereum sees the expiration of 183,756 contracts with a notional value of $577.2 million. The maximum pain point for these contracts is $3,300, with a put-to-call ratio of 0.55.\u00a0<\/p>\n Read more: \u00a0An Introduction to Crypto Options Trading<\/strong><\/p>\n The maximum pain point in the crypto options market represents the price level that inflicts the most financial discomfort on option holders. At the same time, the put-to-call ratio indicates a higher prevalence of purchase options (calls) over sales options (puts).<\/p>\n Crypto options trading tool Greeks.live provides some insights into today\u2019s expiring options. They noted a nearly 15% drop in the Dvol Index from 62% to 48% since July\u2019s monthly delivery, indicating a significant decrease in market volatility. Current implied volatility (IV) levels are among the lowest this year, with only three weeks below the current level.<\/p>\n Greeks.live analysts highlight that market volatility has declined as important events such as the Bitcoin 2024 Conference and FOMC meetings have landed smoothly. However, Adam, an analyst at Greeks.live, noted that the market currently lacks \u201chot spots,\u201d and the Ethereum exchange-traded funds (ETF) will need to wait for steady positive inflows.<\/p>\n \u201cThe historical trend suggests that this quarter should be more optimistic overall, but with little short-term opportunity, it is the right time to buy some medium to long-term call options,\u201d he added.<\/p>\n<\/blockquote>\n Bitcoin started the month at $66,342 but dipped to $62,000 during Asia\u2019s midnight session today. At the time of writing, it has stabilized at around $64,714.<\/p>\n Meanwhile, Ethereum experienced a sharper decline. From $3,317 on August 1, it dropped to $3,097 before rebounding to $3,178.<\/p>\n Read more: 9 Best Crypto Options Trading Platforms<\/strong><\/p>\n Historically, options contract expirations tend to cause sharp but temporary price movements. The market usually stabilizes shortly after. Ultimately, traders should stay vigilant, analyzing technical indicators and market sentiment to navigate potential volatility effectively.<\/p>\n Disclaimer<\/p>\n In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our\u00a0Terms and Conditions,\u00a0Privacy Policy, and\u00a0Disclaimers\u00a0have been updated.<\/p>\n<\/div>\n<\/div><\/div>\nVolatility Declines as Major Crypto Options Near-Expiry<\/h2>\n
\n