As the $15 billion options expiry approaches, Bitcoin and Ether may experience significant price fluctuations. According to analysts, dealer hedging could contribute to volatility, particularly around the $70,000 mark.
The impending expiry of Bitcoin (BTC) and Ether (ETH) options contracts worth billions of dollars could lead to bullish price movements. Deribit, a leading cryptocurrency options exchange, is set to settle quarterly contracts valued at $15.2 billion. Bitcoin options represent the majority, accounting for $9.5 billion, while Ether options make up the rest.
The massive scale of this expiry, one of the largest in Deribit's history, is expected to eliminate a significant portion of open interest across maturities for both Bitcoin and Ether. Notional open interest, reflecting the dollar value of active contracts, is a key metric affected by this event.
:format(webp)/cloudfront-us-east-1.images.arcpublishing.com/coindesk/5FSTBFWMQZCD5G6QSHRPBNZAMM.png)
:format(webp)/cloudfront-us-east-1.images.arcpublishing.com/coindesk/LHFE2U5O4VHWNNLGP3LQ5MUDUE.png)
A considerable amount of options are poised to expire in-the-money (ITM), meaning the strike price favors the option holder. This situation, combined with recent price rallies, could exert upward pressure or increase volatility in the market.
Dealers and market makers are engaged in hedging activities, with significant gamma positioning around the $70,000 strike for Bitcoin. As the expiry nears, forced hedging actions may intensify volatility around this level, leading to choppy price movements.
Gamma measures the rate of change in an option's delta concerning shifts in the underlying asset's price. Market makers utilize gamma to adjust their exposure and maintain a neutral position while providing liquidity in the market.
The sale of an "epic sat" during Bitcoin's fourth halving event for $2.13 million marks the growing value of unique digital assets in the cryptocurrency ecosystem. With Bitcoin's inflation rate now lower than gold's, it solidifies its status as a rare and coveted store of value in the digital realm.
JoyHong Kong is launching Asia's first spot Bitcoin and Ether ETFs, potentially establishing itself as a crypto hub in the region, though mainland Chinese investors are currently restricted. The move could trigger a ripple effect across Asia, encouraging other regulators to explore similar initiatives, potentially reshaping the regional crypto investment landscape.
WeatherlyThe recent Bitcoin halving has sparked optimism among analysts, with predictions suggesting prices could reach as high as $4.5 million per coin, driven by limited supply and growing institutional interest. Bitcoin's potential as a sustainable mega-asset, supported by institutional investment and a narrative shift towards environmental friendliness, signifies a bold new era for the cryptocurrency.
WeatherlyThe 2024 Bitcoin halving, marked by the emergence of spot Bitcoin ETFs and a dwindling tradable supply, presents a departure from past events. These novel factors, alongside uncertainty in the Federal Reserve's policy, introduce intriguing dynamics that could reshape Bitcoin's trajectory.
JoyThe upcoming Bitcoin halving in 2024 will cut miner rewards in half, sparking a race for rare "epic sats" and pushing miners to optimize operations for higher efficiency and income diversification.
AnaisHong Kong's approval of bitcoin and ether ETFs signals its growing role in cryptocurrency innovation, contrasting with China's stricter stance. While this move promises investment opportunities and financial growth, it also poses risks due to cryptocurrency volatility and regulatory uncertainties.
AnaisBitcoin's upcoming halving will slash miner rewards, potentially causing a $10 billion annual revenue drop. Miners face increasing competition for power and must innovate to survive.
WeatherlyDonald Trump sees a noteworthy downturn in his cryptocurrency investments with his current crypto holdings valued at $5.3 million —a loss close to $3 million.
CatherineBinance NFT platform will cease Bitcoin NFT trading and deposits starting April 18th, 2024, at 14:00 GMT. Additionally, related airdrops and benefits will be terminated from April 10th, 2024. Users are urged to withdraw their NFTs before the specified dates to avoid potential losses.
Cheng YuanWhile Genesis' Bitcoin investment strategy offers potential upside, the company faces substantial hurdles in its journey towards financial rehabilitation.
SanyaBlackRock's IBIT spot Bitcoin ETF exceeds $15 billion inflows since Jan 11, outpacing rivals. Despite slower daily inflows, it logs $192.1 million. With increased advertising, it leads in trading volume, nearing $20 billion AUM. Despite success, market fluctuations may affect future performance.
Huang BoBitcoin bulls optimistic as Deribit's $15B options expiry nears. Speculation of $80,000 surge post-expiry. Current price at $70,140, with $200,000 target predicted. Cautious optimism urged amidst market volatility.
EdmundA reported $15 billion XRP transfer to Bitfinex was part of a failed "Partial Payments Exploit." Bitfinex's resilience and proper handling of transaction data thwarted the attempted attack.
Xu LinCathie Wood's bullish outlook on Bitcoin and the Ark 21Shares Bitcoin ETF remains steadfast, projecting a $1.5 million price target and anticipating substantial institutional inflows. However, she challenges the SEC's cautionary stance on Bitcoin-related ETFs, characterizing it as old DNA dismissing the new in the realm of disruptive innovation.
BerniceAlameda’s liquidators could have prevented $4 million of the losses, according to Arkham Intelligence.
cryptopotatoFTX previously purchased an Australian company to bypass the financial services license process.
BeincryptoFollowing FTX’s collapse, assets on its NFT marketplace can’t be withdrawn—and some FTX-minted NFTs are broken too.
Data shows the Ethereum supply locked in the ETH 2.0 staking contract was holding unrealized losses amounting to almost $15 ...
BitcoinistCrypto mining is proving to be one of Kazakhstan's important lifelines. According to a document released by the State Revenue ...
BitcoinistDespite the place of security in the crypto space, there have been some hacking events once in a while. One ...
Bitcoinist