Aside from a slight mid-week decline, the crypto market has been relatively slow in recent days, continuing to trade sideways.
However, approximately 18,280 Bitcoin options contracts are scheduled to expire on May 10th, which could add some volatility.
According to Deribit, the notional value of BTC contracts expiring this week is approximately $1.15 billion. The batch is slightly smaller than last week's expiration event.
Bitcoin options expiration date
The put/call ratio for BTC options this week is 0.64, which means more calls, or long contracts, are expiring than puts and shorts.
Longs also have the upper hand in open interest (OI), which is approximately $700 million with strike prices of $70,000 and $100,000. Open interest refers to the number or amount of contracts that have not yet been settled.
According to Deribit, the OI on the put contract has also started to creep up, to about $360 million with a $50,000 strike price.
Overall, open interest in Bitcoin call options is more than double the OI of put options, indicating bullish sentiment among traders.
A call option gives you the right to buy the underlying asset at a predetermined price on or before a specific date.
Additionally, trading firms such as QCP Capital and Paradigm are seeing a resurgence in demand for upside call options, with buyers closing out existing positions to roll into higher exercise calls expiring in July and September. I'm observing things.
In addition to today's batch of Bitcoin options, 276,000 Ethereum contracts are also set to expire.
Their notional value is approximately $840 million, with a put/call ratio of 0.74. There is a hefty OI of approximately $636 million at a $3,600 strike price, indicating that Ethereum derivatives traders are also bullish.
Virtual currency market outlook
On this day, the cryptocurrency market rose 2.1%, with total capitalization reaching $2.45 trillion. However, it has been stuck around this level since mid-April, with little movement in either direction.
Bitcoin fell below $61,000 on May 9, but rose above $63,000 in Asian trading on Friday morning. The asset has been trending lower since its all-time high in mid-March, dropping 15% since then.
Ethereum price hit an intraday low of $2,953, but has since recovered and reached $3,032 at the time of writing.
At the moment, the majority of altcoins are in the green, with Solana (SOL) and Toncoin (TON) seeing significant price increases.
