Analyst: $1.6 Billion Bitcoin Options Expiring Today, Low Volatility Expected

BlockBeats News, May 22nd, according to Greeks.live data, a total of 21,000 BTC options expired on May 22nd, with a Put Call Ratio of 0.66, a maximum pain point of $78,500, and a notional value of $1.6 billion.

In addition, 129,000 ETH options are also set to expire today, with a Put Call Ratio of 0.92, a maximum pain point of $2,200, and a notional value of $2.8 billion.

Analyst Adam from Greeks.live stated that Bitcoin ended a month-and-a-half-long rebound this week, but the on-chain support remains strong. The market is relatively quiet with low attention. This week, less than 5% of BTC options are expiring, and ETH is also seeing only 5% of options expiring. The BTC delivery volume is small, with the maximum pain point close to the current price, making the Gamma/pin effect stronger near the delivery; the ETH delivery volume is only half of last week, with the current price below the maximum pain point. The brief dominance of ETH options this month is coming to an end, and post-delivery, short-term IV is highly likely to fall.

Looking at the key options data, Skew continues to decrease slightly, with the IV of major tenors significantly lower compared to last week, dropping more than RV, leading to an increase in VRP. Bitcoin's IV for major tenors has fallen below 35% across the board, and ETH's IV for major tenors has also fallen below 50%, likely to decrease further in the short term.

Bulk of trading is in structured transactions, with whales continuously opening short-term low-cost protective positions. With low volatility expectations, the overall market heat is lower than expected.