CME Bitcoin Options Expires Today, Will BTC Prices Be Affected?

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Bitcoin options contracts on the Chicago Mercantile Exchange (CME) are expiring. Meanwhile, BTC is facing strong resistance at current levels, will it pull back?

Bitcoin options expiry is approaching again, with 105,000 BTC contracts outstanding on April 28.

Mixed Bitcoin Options

The current put/call ratio is 0.85, suggesting neutral to bearish sentiment.

The maximum pain price is the strike price with the most open bitcoin options contracts. It also happens to be the price at which the most losses would be incurred for the largest number of contract holders at expiration.

Bitcoin OI Options | Twitter/@greekslive

Open Interest (OI) is 105,000, which refers to the number of outstanding Bitcoin options contracts that have not yet settled. The next batch of contract expirations with similar IOs will occur on May 26, according to Deribit.

In addition, the put/call ratio is calculated by dividing the number of put (short) contracts traded by the number of call (long) contracts.

A value of 1 means the trade is evenly balanced between sellers and buyers. However, a value below 1 is generally bearish because more speculators are shorting the asset than they are long.

BTC options by expiration | coin glass

Additionally, some 807,000 Ethereum options contracts are set to expire on April 28. There is a maximum threshold of $1,850 and a notional value of $1.54 billion.

The put/call ratio for ETH options is similar to BTC contracts at 0.8.

Options allow speculators to buy or sell assets at a specific price with the ability to sell the contracts at any time. They are more flexible than futures contracts which have fixed expiration dates.

Bitcoin is currently trading at $29,506, after gaining 1.4% in the past 24 hours. However, it is facing major resistance in the $30,000 area, so it may find it difficult to overcome this. Additionally, Bitcoin Options expiry is unlikely to influence BTC prices over the weekend.

CME Group to Extend Options Expirations

Earlier this month, the CME announced plans to expand its suite of crypto options.

Bitcoin and Ethereum standard and micro-sized exchange contracts will have daily expiry options starting May 22.

The new contracts will provide market participants with greater precision and versatility in managing short-term Bitcoin and Ether price risk, said Giovanni Vicioso, the group’s global head of cryptocurrency products. CME.

Disclaimer

In accordance with the guidelines of the Trust Project, BeInCrypto is committed to providing impartial and transparent reports. This news article aims to provide accurate and timely information. However, readers are urged to independently fact-check and seek professional advice before making any decisions based on this content.

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