Virtual Assets: $10 Billion Option Expiry Hits... Bitcoin New High Scenario Emerges

▲ Bitcoin (BTC)

The virtual asset market is expected to experience extreme price volatility as it faces a $10 billion option expiry, including Bitcoin (BTC) and Ethereum (ETH).

Crypto media outlet Coingape reported on April 24 (local time) that option contracts for Bitcoin, Ethereum, XRP, and Solana (SOL) totaling over $10 billion would expire. This expiry is expected to be a turning point for investors in determining future market direction. Amidst anticipated large-scale asset movements, tension is escalating within exchanges.

Bitcoin's maximum pain point has formed around $71,000. Currently, open interest is concentrated on call options at the $75,000 level, indicating that expectations for price increases still exist. However, with funding rates at -4.5%, a bearish market sentiment prevails. Analysts diagnose that "such figures could actually trigger a short squeeze, acting as a catalyst for a price surge."

Ethereum, XRP, and Solana are also facing large-scale expiry volumes. Ethereum recently reclaimed the $2,200 level, attracting interest from institutional investors. XRP is maintaining a price above $1.40 and reacting sensitively to regulatory news. Solana is testing the key support level of $80.93, exploring its direction after option expiry.

The current virtual asset market is assessed to have entered a disbelief phase, questioning price increases. With USDC balances on Binance recently recovering to $7.51 billion, the market has secured sufficient buying power. As investors tend to sell against the trend rather than follow it, the possibility of liquidation for bearish bettors is also increasing.

This $10 billion option expiry is a key event that will determine the short-term momentum of the virtual asset market. There is a high probability of sharp price fluctuations as the gap between the maximum pain point and the current price is bridged. Investors should closely monitor the volatility that may occur immediately after the option expiry and establish cautious response strategies.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*