Bitcoin (BTC) remained stuck in certain ranges, but upward movement resumed with Altcoins led by Ethereum (ETH).
Eth went above $3,900, but other Altcoins also rose significantly.
The bullish mood in the market is expected to continue, but as every Friday, Crypto Market options agreements are expiring today.
Data from the second week of August shows that on August 8th, $864 million worth of Ethereum options will expire on the derivatives derivatives exchange.
Therefore, the put-to-call ratio for the BTC option is 1.45, the maximum loss point is $116,000, and the expected value is $4.1 billion.
Looking at Ethereum, the ETH option put-to-call ratio is 1.14, maximum loss points of $3,650, and the estimated $864 million.
The biggest problem is that when an option approaches its expiration date, the cryptocurrency price will settle at a certain value, resulting in a large loss in the maximum number of option traders.
The biggest problem is that when an option approaches its expiration date, the cryptocurrency price will settle at a certain value, resulting in a large loss in the maximum number of option traders.
At this point, we saw significant volatility at Bitcoin prices following the expiration date of the $4.1 billion option on August 8th. The biggest problem is $116,000 for BTC and $3,650 for Ethereum, but investors can push prices to this level through market manipulation.
A 1.45 Bitcoin put/call ratio indicates that PUT options (betting on price reduction) are more common than call options (betting on price increases). This suggests widespread bearish sentiment among option owners regarding the near future of Bitcoin.
The same applies to Ethereum. ETH’s put-to-call ratio of 1.14 suggests investors are equally bearish.
*This is not investment advice.