$30.3B Bitcoin options expiry signals potential market shifts for bulls and bears

$30.3B Bitcoin options expiry signals potential market shifts for bulls and bears

As $30.3 billion in Bitcoin options nears expiry, bearish sentiment prevails, with over 50% of put options set to expire worthless if BTC stays above $88,000. What’s next for traders?

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As the year-end expiration of Bitcoin options approaches, a significant $30.3 billion in open interest will be determined by BTC's price at 8:00 am UTC on Friday. Current market sentiment is leaning bearish, with positions heavily concentrated between $75,000 and $86,000, indicating a lack of confidence among bulls regarding a price rebound.

Most of the $21.7 billion in call options are expected to expire worthless, as Bitcoin failed to maintain the psychological support level of $100,000 in November. Currently, less than 6% of call options on Deribit are set at or below $92,000, suggesting a cautious outlook among traders. If Bitcoin remains above $88,000, over half of the $7.7 billion in put options may also become worthless.

Deribit accounts for 80% of the total open interest, with the CME following at 11%. Despite bearish sentiment, Bitcoin bulls are still attempting to increase their positions in anticipation of potential market shifts, although skepticism about a price recovery persists.

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