TL;DR
- Over $7 billion in Bitcoin and Ethereum options will expire today, setting up traders for possible sharp price swings as both assets hover near critical strike prices.
- Bitcoin’s Put-to-Call ratio points to cautious optimism, while Ethereum’s higher open interest shows traders are betting more on its near-term movements.
- Corporate treasury buying, especially Strategy Corp’s latest purchase, provides temporary price support during this expiry.
A massive batch of Bitcoin and Ethereum options worth over $7 billion expires today, August 1, which could shape crypto price action through the weekend. Deribit data shows Bitcoin’s max pain price sits at $117,000, slightly above its current price of about $116,000. Ethereum’s max pain is near $3,550, matching its current trading zone and drawing traders’ focus.
Options expiry days often bring extra volatility, as big traders adjust positions to protect profits or limit losses when contracts settle. Bitcoin’s Put-to-Call ratio is 0.79, showing that calls outnumber puts, which usually signals traders lean bullish and expect potential upward momentum. Ethereum’s ratio is closer to 0.91, reflecting a more neutral but still positive outlook compared to recent weeks.
Some expect Bitcoin to hold near the $116,000 level, but a break lower could push it toward $114,000. If selling pressure increases, it may even retest $112,000 before finding solid support again. Analysts at Greeks.live note that the recent pause in rate hikes by the Federal Reserve has added to short-term uncertainty, although some see this as an opportunity to accumulate crypto at lower levels.
Institutional Buying Acts As A Cushion
One bright spot for Bitcoin is fresh institutional interest, which continues to fuel market confidence. Strategy Corp recently closed a $2.52 billion IPO and used part of that capital to buy 21,021 BTC at an average price of about $117,000. This bold move added strong buy-side support that has so far kept Bitcoin from falling deeper during this week’s slide, providing reassurance to retail investors as well.
Ethereum’s growing open interest suggests traders see more opportunity in its short-term swings and volatility. With over 375,000 contracts open, ETH’s derivatives market now rivals Bitcoin’s in size, pointing to rising confidence in Ethereum’s future. If buying momentum persists, Ethereum could attempt a push back toward $3,700 soon, boosting broader market sentiment.
Once today’s expiry settles, many traders expect calmer price action and potential for fresh upside, especially if institutional flows continue to backstop dips and strengthen overall demand for both assets in coming weeks.
