Crypto market traders anticipate volatility amid $4.3 billion in Bitcoin and Ethereum options expiry is expected today. Traders await this, expecting Bitcoin price to move higher consequently.
Further, the crypto market cap reclaimed above $4 trillion after the PPI and CPI inflation data signaled inflation had cooled off slightly in the United States.
The weak labor market is supporting a 25 bps Fed rate cut next week. However, a rebound is expected as REX-Osprey XRP, BTC, DOGE, TRUMP, and BONK ETFs are set to launch today.
Volatility Expected for Bitcoin Price With $3.36 Billion BTC Options Expiry
28K BTC options with a notional value of $3.32 billion expire on the largest derivatives crypto exchange Deribit on September 12.
The put-call ratio was 1.31. This indicated traders were massively bearish, placing more put bets than calls.
Moreover, Bitcoin’s max pain price was $113,000, lower than the market price of $115,016 at the time of writing.
This implied a high chance of a pullback in BTC price, with traders adjusting their positions amid intense volatility.
Besides, the 24-hour put volume was higher than the 24-hour call volume. The put-call ratio was 1.06, indicating traders were buying more put options, defying global crypto market sentiment.
As per GreeksLive, BTC implied volatility in the options market slightly fell, despite the imminent Federal Reserve interest rate decision next week.
Block trades have increased in volume, accounting for over half of daily volume for the last two weeks.
Trade distribution analysis on Deribit revealed that the majority of trades target September options, with active buying and selling occurring at similar rates.
Meanwhile, veteran trader Peter Brandt reiterated a bearish trend outlook on Bitcoin price, claiming it will peak this month.
However, CME crypto options notional open interest hit a new all-time high of $7.1 billion, indicating institutions are using options for risk management and capital efficiency.
Bitcoin price was trading 1% higher at $115,037 at the time of writing. The 24-hour low and high were $113,453 and $116,317, respectively.
Furthermore, the trading volume has increased by 5% in the last 24 hours, indicating a rebound in interest among traders.
According to Glassnode, holding above $114K is key for further upside, while $108K risks a deeper fall.
Ethereum Price Set to Hit $4,000 After Expiry?
185K ETH options with a notional value of almost $0.85 billion are set to expire. The put-call ratio was 1.02, suggesting a bearish sentiment among crypto market traders as puts dominated calls.
Also, the max pain point was $4,400, indicating that a rise may happen after options expiry.
However, ETH options traders were focusing on $4,700 as a key resistance level ahead of the Fed rate cut next week.
In the last 24 hours, put volume was lower than the call volume, with a put-call ratio of 0.85. This suggested an expected rebound in ETH price by traders.
As per Adam from Greekslive, there is significant market disagreement about the second half of the month. Overall, the market is still more optimistic about the outlook for the fourth quarter.
Analyst Michael van de Poppe said he was waiting to buy ETH near the 20-weekly MA. He predicted a rebound in prices as bearish sentiment erodes.
Ethereum price will consolidate until the Weekly MA comes closer or is in play. ETH price jumped 2% in the past 24 hours, with the price trading at $4,512.
The 24-hour low and high were $4,370 and $4,560, respectively.
Source: https://www.thecoinrepublic.com/2025/09/12/bitcoin-price-crypto-market-brace-for-volatility-ahead-of-over-4-3-billion-options-expiry/
