Over $2.04 billion in Bitcoin and Ethereum options are about to expire in the crypto market. This situation raises worries about more market ups and downs. Bitcoin has key resistance levels, and Ethereum is having trouble staying stable. This uncertainty makes traders unsure about the short-term direction of cryptocurrencies.
Bitcoin options contracts are worth more than $1.6 billion. Analysts see a put-to-call ratio under 1 for Bitcoin and Ethereum. This shows that more traders expect prices to go up instead of down. The max pain theory says that as expiration nears, prices might move toward levels that make most options worthless, possibly causing price corrections.
Bitcoin is near a key resistance zone, and traders are watching support levels closely. If Bitcoin can’t hold its price, it might fall fast to a lower level. Past support levels are crucial for price stability. Analysts say low volatility might not stick around, and markets can get shaky. Traders are watching a key price range for breakout or breakdown signals.
Ethereum has over 150,000 contracts expiring, facing similar challenges. The put-to-call ratio for Ethereum is lower than Bitcoin’s, showing that more traders anticipate profits. Ethereum’s price, like Bitcoin’s, may change as expiration approaches, aligning with the strike price that could cause many options to expire.
Market sentiment is a bit negative. Traders are unhappy with low volatility and lack of direction. Analysts say Bitcoin traders are watching an important support zone. If this support fails, a big drop could happen. Bitcoin’s price is making lower highs and lows, showing a short-term downward trend. Recent attempts to bounce from support hint at a possible reversal.
