$10.6B BTC & ETH Options Expire Amid Market Search for a Bottom
A massive $10.63 billion in BTC and ETH options are set to expire on Deribit, hitting a market already in freefall. Traders are scrambling for downside protection as both assets sit far below their max pain levels. Expect choppy action as the market hunts for a floor.
Nearly $10.63 billion in Bitcoin and Ethereum options expire today on Deribit, a colossal event for a market desperately searching for a bottom. Bitcoin is clinging to $60,200 after a brutal 2% daily drop, while Ether is bleeding out at $1,580, down a painful 4.43%. Both are miles away from their max pain points, signaling a clear bearish sentiment. Puts are commanding a hefty premium, showing traders are paying up for protection against further downside rather than betting on a quick rebound. The current price action is trapped in negative gamma territory, suggesting choppy, volatile moves around these levels as the expiry plays out. Some analysts are calling for deeper losses, with forecasts pointing to a bottom near $42,000-$44,000, but Deribit itself cautions against over-interpreting the max pain metric. The next few sessions will reveal if sellers extend their assault or if buyers finally muster the courage to step in.