The Influence of $3.9B Cryptocurrency Options Expiration on Market Trends

Approximately 34,000 Bitcoin options contracts, worth an estimated $3.3 billion, are set to expire on June 20. This event is slightly larger than the previous week's options expiry, but the impact on spot markets is expected to be minimal. The week's Bitcoin options contracts have a put/call ratio of 1.16, indicating more short sellers than longs.

Open interest (OI) is highest at strike prices between $115,000 and $140,000, with over $1.7 billion at each price. Alongside this, around 215,000 Ethereum contracts, with a notional value of $546 million, are also set to expire, bringing the total crypto options expiry notional value to around $3.9 billion. Despite the volatility, total market capitalization has only fallen a further 2% to $3.37 trillion, and Bitcoin and Ethereum prices are holding above their respective support levels.