Bitcoin and ether options worth $27 billion set for year-end reset
A massive $27 billion in Bitcoin and Ether options are set to expire on Deribit on Boxing Day, indicating a bullish market bias.Summary
The crypto market is anticipating a significant structural reset on Friday, December 26th (Boxing Day), as $23.6 billion in Bitcoin options and $3.8 billion in Ether options expire on the Deribit exchange. This expiry affects over 50% of Deribit's total open interest and shows a bullish positioning, evidenced by a low put-call ratio of 0.38. The 'max pain' level is cited near $96,000 for BTC. While some observers suggest the max pain level acts as a magnet for the spot price, this theory remains debated. Despite the large expiry, volatility is expected to be contained due to holiday season thinning liquidity and tempered expectations, as indicated by a lower Bitcoin Volatility Index (DVOL). Traders are currently rolling some downside put options into January expiries, which will help determine if any perceived downside risk is related to the year-end reset or structural concerns.
(Source：CoinDesk)