The world’s largest cryptocurrency options exchange Deribit will witness one of its most substantial option expirations this weekend.
At the Deribit cryptocurrency derivatives exchange, $9.5 billion worth of Bitcoin options contracts will expire this weekend. This will be one of the largest monthly option contract expirations in the exchange’s history.
About a significant portion of the option contracts, $3.9 billion worth, are in profit based on Bitcoin’s current price. The dominance of profitable investors in the market is expected to cause significant volatility, and the prevalence of short positions has also drawn attention.
The open position amount in Bitcoin option contracts on Deribit has increased significantly recently. This is indicated to potentially bring further upward movements in the market.
Deribit’s Head of Business Development, Luuk Strijers, mentioned that there is a conceptual position of $1.2 billion in Bitcoin for contracts with a value of $100,000 and above. He also emphasized that a significant portion of the option contracts have a “maximum pain” price of $50,000.
