A lot of Bitcoin and Ethereum options have expired today and as a result of this, the top two cryptocurrencies are struggling hard. Around $3.8 billion in ETH options contracts have expired and Bitcoin and Ethereum are down by 7.6% and 8% respectively. Bitcoin And Ethereum Struggling as a Lot of ETH Options Contracts Expire In accordance with the data shared by the experts, the prices of Bitcoin and Ethereum are down due to the record number of ETH options expiry. Talking further about the Bitcoin and Ethereum options, they are derivatives contracts that provide the purchasers with a right to purchase the assets at a certain price in the future. In addition to this, it should be noted that when the options are set to expire, the market can become very fluctuating as the traders are either going to hold their positions or dump them. Discussing further the metrics of options, Bitcoin options representing 83,700 BTC worth around $2.6 billion and 685,000 in Ethereum, which accounts for around $1.2 billion have expired. Experts on Options Expiry and Market Future The CEO of CryptoQuant, a data provider for the investors, Ki-Young Ju said: “I think it’s plausible [it is causing volatility] since it’s the largest ever options expiry [for Ethereum].” Along with this, he said that he believed that this was a sign of a coming bear market and as it has been witnessed that the Ethereum supply across all the exchanges is increasing which means that the investors are ready for sell-off. An NFT Analyst for Quantum Economics, Alexandre Lores said: “Bitcoin faced a strong rejection around $35,000, and when it failed to break through resistance at that level, it headed toward support around $31,500. “If this support holds, bitcoin may head back to $35,000. Most coins in the market, such as ether, are heavily correlated to BTC/USD at the moment.”
The post Bitcoin and Ethereum Plunge as Record Number of ETH Options Expire appeared first on Cryptoknowmics-Crypto News and Media Platform.
from Live Crypto News – Cryptoknowmics-Crypto News and Media Platform
