BTC and ETH Options Expiry Signals a $105K Bitcoin Surge—Will ETH Follow to $3.5K?

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BTC and ETH Options Expiry Signals a $105K Bitcoin Surge—Will ETH Follow to $3.5K？

On January 17, 2025, $2.19 billion worth of Bitcoin options expired, bringing to a total of 22,000 BTC options.

The Put-Call Ratio of these contracts was 0.95, which is almost a 50:50 split between bullish and bearish positions.

At $96,000, the Max Pain Point for options is the point at which the maximum number of options will expire worthless.

The price of Bitcoin stands at $102,047, up 2.8% over the past 24 hours and 8% on the week.

This expiry comes after a strong rally taking Bitcoin (BTC) past the $100,000 mark. This surge came shortly after the price plummeted to $89,260 just days ago.

The recovery was sparked by market participants jumping on the lower price. With Bitcoin at a price above $100K, some traders are staying in the game and looking for a turn to $105,000 in the very short term.

Ethereums Options Expiry

Many options contracts expired on January 17, 2025, for Ethereum as well. Meanwhile, 182,000 ETH options made it to the end of that day, and this time around with an even more balanced Put-Call ratio of 0.36.

That means most investors were betting on Ethereum (ETH) going up in price. The out-of-money percentage for Ethereum was 9 percent and the notional value of these contracts was $610m.

Ethereum was trading at $3,422.47 at the time of expiry and was up 2.5% in the past 24 hours.

Ethereum‘s price has also been rising, but its gains have been much less than Bitcoin’s.

Bitcoin has jumped by 8%, while Ethereums weekly performance has been just 2.5%.

For now, the focus is on getting Bitcoin moving, but Ethereum may follow if Bitcoins momentum continues.

Bitcoins Rally Amid Market Sentiment

With the rally above $100,000, the market sentiment has shifted towards optimism.

The main question many people are watching to see is if Bitcoin can continue its upward trend leading up to the presidential inauguration of Donald Trump.

However, some of the players in the market believe that his policies could be playing into the hands of cryptocurrencies, increasing the interest and value gain for the crypto sector.

Implied volatility (IV) is also increasing in the Bitcoin market, which leads to the understanding of higher expectations of future price fluctuation.

Traders have caught wind of Bitcoins long positions picking up steam and not too far off are predicting it to tag $105,000 within the next few days.

But whether Bitcoin retains its momentum is uncertain. With volatility on the rise, some investors will look for profits via short-term options.

Global Market Activity and Regional Differences

Bitcoin price seems to be on a bullish trend but some regions have not been so enthusiastic.

Market data reveals recently Bitcoin lost briefly due to being sold on Asian and European markets.

American investors, however, purchased the market quickly again, pushing the price higher.

The pattern here indicates that there might be a role for global market dynamism-related inputs to Bitcoins Price changes.

Different regions have different trading behaviors hence indicating how market sentiment can change due to policy or political events.

Investors across markets are keeping an eye out for any shifts that may result from the anticipated volatility around Trumps inauguration.