How Will Markets React to Epic $27B Crypto Options Expiry Event Today?

tldr; A record-breaking $27 billion crypto options expiry event is taking place, involving 263,000 Bitcoin contracts and 1.25 million Ethereum contracts. The Bitcoin options have a notional value of $23 billion, with a put/call ratio of 0.37 and max pain at $96,000. Ethereum options have a notional value of $3.4 billion, with max pain at $3,100. This event could induce market volatility, though spot markets have remained flat. Analysts suggest post-expiry flows and institutional positioning will be key factors to watch.

*This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR.

It’s going to go up and down, or down and then up

The “$27B” is bullshit because it includes the notional value of options so far out of the money that there’s not a single hedged positions tied to them to unravel from this expiration. Those 170k calls have already been worthless for weeks, they don’t matter.

The large chunk of puts around 85k were the only ones that had any significance, and those already expired at 8am UTC today (and we’ve seen a small move up over the last 12 hours or so which could be related).

So.. I doubt it will mean much overall.