Bitcoin Options Market Sentiment Shifts Ahead of Expiration
A researcher at Greeks.live notes that despite a recent surge in market sentiment and prices, large investors in the Bitcoin options market have lowered their expectations for future price movements.
The implied volatility (IV) of short- and medium-term options has been declining rapidly, but remains only about 10% higher than two weeks ago. In contrast, the IV level for medium and long-term options has increased by less than 2%, suggesting limited price fluctuations are expected in the coming period.
The upcoming expiration date is significant, as approximately 40% of existing option positions will expire at the end of the month. A notable concentration of options with strike prices between $80,000 and $90,000 has been observed.
This region may constitute a resistance area for upward movement, but breaching it could increase upward pressure on Bitcoin.