The cryptocurrency market is on alert as nearly $3.7 billion in Bitcoin options are set to expire on November 8. This large expiry, exceeding last week’s, surpassing last week’s, follows recent events, including the U.S. elections and the Federal Open Market Committee (FOMC) meeting. Such a substantial options expiry often triggers massive sell-off.

$3.7 billion Bitcoin Options Expiry

Recent data from Deribit suggest that around 48,794 Bitcoin options contracts, worth approximately $3.7 billion, are set to expire today. However, these contracts have a put-to-call ratio of 0.72, showing a relatively even split between bearish and bullish positions. 

Additionally, the maximum pain point, or the price level where most options would lose value, is set at around $69,000.

A significant amount of open interest (OI) is centered around the $80,000 strike price, totaling $1.7 billion, which suggests that some traders are optimistic about a potential price increase.

After the election results, trading volumes spiked to a daily record of $60 billion, boosted by Donald Trump’s victory. Following this, BTC hit a new all-time high (ATH) of $76,940, reflecting the market’s positive sentiment.

Analysts Signal Possible Profit-Taking

Crypto derivatives platform Greeks Live noted a trend of profit-taking in the options market, suggesting that the election-driven rally may be nearing its end.

The election market is rapidly cooling off and despite strong gains in both Bitcoin and Ether and optimistic sentiment in the crypto market, the options market is closing out profit taking in a noticeable way to end the election game.
BTC doomsday options have fallen below 50%… pic.twitter.com/ZEB6KlD7nQ

— Greeks.live (@GreeksLive)November 7, 2024

Additionally, the platform reported a decrease in “doomsday” Bitcoin options, which allow investors to exit contracts early, reflecting a shift toward more optimistic market sentiment.

Ethereum Options Set to Expire Too

Alongside Bitcoin’s massive expiry, about 294,000 Ethereum options contracts worth $850 million are also expiring today. These contracts hold a put-to-call ratio of 0.65, with a maximum pain level of $2,500. 

Altogether, today’s options expiry across Bitcoin and Ethereum totals nearly $4.5 billion.

Meanwhile, Bitcoin and Ethereum have reached a new peak of $76,872, while Ethereum climbed to $2,950. While some altcoins have cooled after recent rallies, Solana (SOL) and Cardano (ADA) continue to gain, showing 5% and 14% increases, respectively.