April 2023 BTC Options Expiration: Key Insights on Market Volatility and Sentiment

On April 11, Greek.live analyst Adam shared significant insights regarding the expiration of cryptocurrency options, noting that approximately 28,000 BTC options are set to expire, with a Put Call Ratio of 0.88. The max pain point is positioned at $81,500, representing a notable notional value of $22.6 billion. Additionally, 184,000 ETH options are also expiring, maintaining a Put Call Ratio of 0.92 and a max pain point at $1,700, equating to $2.8 billion in notional value. This week’s market sentiment has shifted to a more fearful stance, heavily influenced by President Trump’s fluctuating tariff policies, which have exacerbated risk aversion among traders.

Market volatility is expected to continue in the near term, driven by prevailing uncertainties surrounding ongoing trade disputes. Currently, the open interest in cryptocurrency options reflects over 1% of the total open interest, with the June quarterly options commanding the largest proportion. Interestingly, BTC’s implied volatility (IV) has seen a notable decrease, hovering around 50% across various maturities. In contrast, ETH’s IV remains comparatively robust at about 80% for short to medium-term options, indicating that selling ETH options might be wise given the circumstances. Overall, a persistent lack of fresh capital inflows, coupled with subdued investor sentiment, suggests the potential for unforeseen market disruptions.