$9.5 billion options expire this Friday

8:29 a.m. ▪ 3 min reading ▪ by Fenelon L.

This Friday, crypto derivatives exchange Deribit is preparing to experience one of the largest Bitcoin options expirations in its history. With $9.5 billion in open interest about to expire, the market could see increased volatility in the coming days.

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$9.5 Billion Bitcoin Options Expire Friday

Deribit, the undisputed leader in crypto derivatives, will witness the expiration of more than $9.5 billion in Bitcoin options this Friday, or approximately 40% of the platform's total open interest in options, which reached today today 26.3 billion dollars.

This unprecedented event far surpasses previous monthly expirations, revealing investors' growing attraction to these complex financial instruments.

Open interest, which is the total number of derivative contracts outstanding, is a key indicator of market health and liquidity. The record levels recorded by Deribit thus demonstrate an increasingly mature and dynamic crypto market, attracting a growing number of seasoned traders.

Previous months' expirations of $3.74 billion and $3.72 billion in January and February, respectively, pale in comparison. This notable increase in activity reflects increased participation of market participants on the Deribit platform.

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A potentially major impact on the price of bitcoin!

With the price of Bitcoin currently trading below $70,000, Deribit analysts estimate that approximately $3.9 billion worth of options are expected to expire “in the money.” This situation could encourage many holders to exercise their options, potentially followed by a wave of purchases that could push the price of BTC higher.

However, the “max pain price”, that is to say the exercise price leading to the expiration of the greatest number of options worthless, would be $50,000, according to experts. This scenario could thus generate significant speculative movements, as traders strive to cover their positions or capitalize on the expected volatility.

The massive expiration of Bitcoin options scheduled for this Friday on Deribit constitutes a decisive turning point for the crypto market. Indeed, with $9.5 billion in open interest at stake, traders and investors will be closely watching the evolution of the Bitcoin price in the days to come.

Between opportunities for gains and risks of losses, this deadline could well be the catalyst for a new wave of volatility in the crypto market.

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Fenelon L. avatarFenelon L. avatar
Fenelon L.

Passionate about Bitcoin, I like to explore the intricacies of blockchain and cryptos and I share my discoveries with the community. My dream is to live in a world where privacy and financial freedom are guaranteed for everyone, and I firmly believe that Bitcoin is the tool that can make this possible.


The comments and opinions expressed in this article are those of the author alone, and should not be considered investment advice. Do your own research before making any investment decisions.

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