Published: January 18, 2025 at 3:45 pm
Updated on January 18, 2025 at 3:45 pm
On January 17, 2025, a whole $2.19 billion worth of Bitcoin options expired. Yep, you read that right—22,000 BTC options went poof! The Put-Call Ratio was 0.95, which means we had almost as many bulls as bears in the game. The Max Pain Point? That was $96,000, where the most options would expire worthless. At the time of this expiry, Bitcoin was sitting pretty at $102,047, marking a 2.8% increase in 24 hours and an 8% rise over the week.
This expiry came right after a solid rally that pushed Bitcoin over the $100K mark. Remember when it dipped to $89,260 just days before? Classic move! But hey, some traders are now eyeing a quick $105K target.
Ethereum wasn’t left out either. On the same day, 182,000 ETH options also expired with a Put-Call ratio of 0.36, indicating a strong bullish sentiment. The notional value was around $610 million. At expiry, Ethereum was trading at $3,422.47, up 2.5% in 24 hours.
While Ethereum is also climbing, its gains have been slower compared to Bitcoin. Bitcoin shot up by 8% over the week, while Ethereum only managed 2.5%. But if Bitcoin keeps pushing, it wouldn’t be surprising to see Ethereum catch up.
Bitcoin’s rally over $100,000 has shifted a lot of sentiment from cautious to optimistic. Everyone’s watching to see if Bitcoin can keep this momentum leading up to Donald Trump’s presidential inauguration. Some believe that his policies might actually be friendly to cryptocurrencies.
Implied volatility (IV) in Bitcoin is rising too, which suggests that the market is expecting more fluctuations. Long positions are increasing, and there’s chatter that Bitcoin could hit $105,000 soon. But can it hold its ground? Rising volatility might prompt some to cash in their chips a bit early.
Even with Bitcoin’s bullish trend, the regional trading behaviors are all over the place. Bitcoin took a quick dip thanks to some selling pressure in Asia and Europe. But American investors jumped back in, pushing the price up again. It’s a reminder that global dynamics are a huge factor in Bitcoin’s price movements.
Different regions have different trading habits, influenced by local policies and political happenings. Everyone’s checking to see if market sentiment will shift, especially with Trump’s inauguration on the horizon.
If you’re diving into this wild ride, a solid trading strategy is key. For those looking to cash in on short-term movements, knowing how options expiry and regional behaviors affect price is vital. Crypto trading bots and signals might help you catch some trends.
Long-term investors should keep their eyes on tech advancements and regulatory changes. A good pulse on market sentiment and global economic factors can’t hurt either.
The expiry of these Bitcoin and Ethereum options has shown just how dynamic the crypto market is. Bitcoin is eyeing $105,000 while Ethereum looks towards $3.5K. But understanding the factors driving these movements is crucial. Stay informed, and you might just find some opportunities in this chaotic market.
Access the full functionality of CryptoRobotics by downloading the trading app. This app allows you to manage and adjust your best directly from your smartphone or tablet.
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