TL;DR
- Bitcoin’s V-Shape Recovery: After a 30% drop due to Japan’s economic policy changes, Bitcoin rebounded sharply, trading at around $60,000 with a 6% surge. Analyst Michael van de Poppe predicts a potential new all-time high by September or October.
- Bitcoin Options Expiry: Today, 32,000 Bitcoin options contracts worth $1.9 billion are expiring, with a put/call ratio of 0.71 and a max pain point at $60,000, expected to have a limited impact on spot markets.
- Ethereum Options Expiry: Alongside Bitcoin, 206,000 Ethereum options worth $560 million are expiring, with a put/call ratio of 0.96 and a max pain point of $2,950, contributing to market volatility.
Bitcoin experienced its largest price drop of the year on Monday, plummeting 30% amidst a global market downturn. This decline was triggered by economic policy changes in Japan, which led to a market sell-off and significant losses across various assets.
Aug. 9 Options Data
32,000 BTC options are about to expire with a Put Call Ratio of 0.71, a Maxpain point of $60,000 and a notional value of $1.9 billion.
206,000 ETH options are about to expire with a Put Call Ratio of 0.96, Maxpain point of $2,950 and notional value of $560… pic.twitter.com/soKryrB4Hw— Greeks.live (@GreeksLive) August 9, 2024
Even with this notable decline, Bitcoin has rebounded quickly, capturing the interest of both cryptocurrency fans and market analysts. Michael van de Poppe, a prominent analyst, suggests that BTC may experience a “V-Shape recovery,” drawing parallels to previous major market upheavals.
Bitcoin Making V-Shape Recovery
As of now, Bitcoin’s price is trading positively at around $60,000, reflecting a surge of 6% with a market cap of $1.19 trillion. Michael van de Poppe has noted Bitcoin’s impressive bounce back, describing it as a “V-Shape recovery.” This term refers to the swift and sharp recovery in Bitcoin’s price following a major dip.
Van de Poppe compares this recovery to past market disruptions, like the COVID-19 pandemic’s “Black Swan” event, suggesting Bitcoin’s resilience and potential for future gains.
Additionally, Van de Poppe anticipates that Bitcoin may reach a new all-time high (ATH) by September or October, provided it stays above the $57,500 mark. This prediction highlights the ongoing fundamental strength of Bitcoin, pointing to promising growth prospects for investors in the future.
Bitcoin Options Expiry
Meanwhile, on Friday, August 9, approximately 32,000 Bitcoin options contracts, valued at about $1.9 billion, will expire. This expiration is expected to have a limited impact on spot markets compared to the previous week.
However, the put/call ratio of 0.71 indicates that more call contracts are expiring than puts, with the max pain point set at $60,000.
Ethereum Options Expiry
Alongside Bitcoin, 206,000 Ethereum options, valued at $560 million, are also expiring. These Ethereum options have a put/call ratio of 0.96 and a max pain point of $2,950, which is significantly higher than current spot prices.
The combined ideal value of these crypto options expiring at $2.5 billion adds to market volatility, making it a crucial day for traders and investors to watch.
