A massive $6.4 billion bitcoin options expiry on Friday could amplify volatility
A $6.4 billion Bitcoin options expiry is approaching, with a high volume of call options at the $75,000 and $80,000 strikes. Analysts suggest this event could increase market volatility as traders manage their positions.
Why it matters
Large options expiries often trigger significant price fluctuations as market makers adjust their hedges to remain delta-neutral.
A total of 81,700 bitcoin options contracts, representing approximately $6.44 billion in notional value, will cease to exist, according to data source Deribit Metrics. One options contract represents 1 full BTC.
The total comprises 44,639 call contracts and 37,061 put contracts, resulting in a put-to-call ratio of 0.83, which points to bullish positioning in the market.
The two most preferred call-option strikes are $75,000 and $80,000. The $75,000 strike holds the largest call open interest, with $236 million in notional value, followed by the $80,000 strike at $157 million.
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