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Bitcoin max pain at $80,000 as over $2 billion options expire today.
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Almost $622 million in ETH options are set to expire today, price dips 3%.
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Traders closely watch XRP and Solana crypto options expiry.
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Bitcoin, ETH, XRP, and Solana falls as CLARITY Act buzz faded.
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Experts raised concerns on potential selloffs amid inflation and rising Treasury yields.
Crypto market recorded massive liquidations over the past few hours due to Bitcoin (BTC), Ethereum (ETH), XRP, and Solana (SOL) options expiry today. Crypto prices tumbled and pared almost all gains after bearish sentiment over the Senate committee advancing the CLARITY Act faded.
The latest US macroeconomic data, Middle East tensions, and spiking US Treasury yields, among other headwinds, are sparking Bitcoin selloff jitters.
Over $2 Billion in Bitcoin Options to Expire Today
According to Deribit data, almost 25K Bitcoin options with a notional value of more than $2 billion will expire on May 15. The put/call ratio of 0.57 indicates bullish sentiment in the crypto market.
The max pain price is at $80,000, below the current market price of $80,772. Moreover, BTC implied volatility is falling and 25 delta skew is rising sharply today. It signals that traders are turning cautious due to high odds of a drop in Bitcoin price.
In the last 24 hours, call volume is still higher than put volume, with a put/call ratio of 0.83. Deribit data shows high volume put and call options trading for the May 29 expiry, especially after the hot US CPI and PPI inflation data.
Derbit said “Compared to last week, expiry size has grown materially while put/call ratios moved even lower, showing traders continue rotating toward upside exposure.”
Trades Brace for Ethereum Options Expiry
Over 274K ETH options with a notional value of almost $622 million are set to expire today, with a put-call ratio of 0.40. The max pain point is at $2,300, above the current market price of $2,260.
The data shows traders are bullish on potential upside momentum after the latest profit taking. However, the put volume has increased significantly in the last 24 hours, with the put/call ratio bearish at 1.29.
Deribit highlighted that ETH open interest data shows outsized purchases of May 29 $2100 puts. This might trigger selloffs in ETH in the coming days, saying “alarm bells might ring.”
Meanwhile, the Senate Banking Committee advancing the CLARITY Act for further negotiations and a full Senate vote failed to trigger a surge. ETH price plunged almost 3% over the past 24 hours.
Similar to Bitcoin options, ETH implied volatility is falling and 25-delta skew is rising in the last few hours.
