Greeks Live data shows that the implied volatility (IV) for major terms has surged significantly with short-term IVs surging 10% or more in comparison to the previous week.
The world’s largest cryptocurrency Bitcoin (BTC) gave a strong surge of over 5% in the last 24 hours moving back above $67,000 levels ahead of Friday’s expiry. As of today, July 26, 61,000 Bitcoin option contacts are set to expire with a notional value of $4.1 billion.
As per data from Geeks Live, the put-call ratio is 0.62 with a max pain point of $63,500. The max pain point refers to the price level that causes the greatest financial loss to the option holders. On the other hand, the put-call ratio under 1 suggests that there’s a higher number of purchase (call) options than the sell (put) options. This week’s put-to-call ratio suggests that traders are favoring buying options over selling them, signaling an optimistic market sentiment.
Greeks Live data shows that the implied volatility (IV) for major terms has surged significantly with short-term IVs surging 10% or more in comparison to the previous week. Today also marks the monthly expiry for July and thus the IVs are likely to be larger than expected.
As news from the Bitcoin conference is processed over the weekend, IVs are anticipated to face further downward pressure next week following today’s monthly delivery.
26 July Options Data
61,000 BTC options expired with a Put Call Ratio of 0.62, a max pain of $63,500 and a notional value of $4.1 billion.
490,000 ETH options expired with a Put Call Ratio of 0.45, a max pain of $3,350 and a notional value of $1.6 billion.
The crypto market… pic.twitter.com/glyCZXZmOF— Greeks.live (@GreeksLive) July 26, 2024
BTC Price Recovery Above $70,000 Possible?
The Bitcoin price has been trading rangebound for some time recently. Yesterday, Bitcoin bounced back from its crucial support levels of $65,000. Popular crypto analyst Rekt Capital shared a chart stating that the retest of the support was successful and thus, the BTC price could be heading to $71,500 levels.
The retest was successful
Bitcoin has confirmed $65,000 as support
Price will now continue to occupy the $65000-$71500 region (red)$BTC #Crypto #Bitcoin https://t.co/k15SAxaizI pic.twitter.com/v1UBMtj0zk
— Rekt Capital (@rektcapital) July 26, 2024
The recent launch of spot Ethereum exchange-traded funds (ETFs) in the US has intensified the current market dynamics. Analysts at Deribit noted that the combined effects of the Mt. Gox distribution, ETF outflows, and a downturn in the Nasdaq are contributing to the present market trends.
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