As the market faces a $9 billion options expiry, Bitcoin remains under significant pressure, trading below the critical threshold of $74,000. This situation has heightened bearish sentiment, exacerbated by corporate selling and substantial outflows from spot Bitcoin ETFs. On May 29, Bitcoin's price tested the $72,500 mark for the first time in six weeks, resulting in liquidations totaling $342 million for bullish positions.
Currently, Deribit dominates the options market with a 70% share for the May expiry, reflecting open interest of $3.4 billion in call options and $2.91 billion in put options. Should Bitcoin remain below $74,000 by the expiry, only $306 million in call options would be in the money, while puts exceeding this level amount to $1.05 billion.
Even a recovery to $74,000 would leave a gap of $265 million favoring put options over calls. The put-to-call volume ratio, currently at 0.8, indicates a more balanced trading environment compared to the previous week’s focus on bearish strategies. Traders now show little enthusiasm for Bitcoin's prospects, with only an 18% chance of reaching $80,000 by the June 26 expiry.