Investors are bullish on Ethereum as the industry anticipates the launch of Spot Ethereum ETFs. This sentiment is conveyed by the recent expiration of Ethereum options contracts and the put-call ratio. According to the data, more than 200,000 ETH options have recently expired, and the crypto community is eagerly awaiting the Ethereum price direction.
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Notably, the majority of expiring ETH options are call options, meaning buyers are betting the price will rise. At the same time, the put-call ratio is at 0.36. This lower price means that market participants are now buying more call options than put options.
Options Show Rising Demand for Ethereum
Options are contracts that give buyers the right, but not the obligation, to buy or sell an asset at a certain price before or on a certain date. If the price of Ethereum is above the strike price of these options at the time of expiration, buyers will likely exercise their right to buy ETH at a discount, which may push the price even higher.
According to the data, participants in the options market are betting on the rise in the price of Ethereum despite the recent stop at about $ 3,500. In particular, the data shows that 200,000 ETH options worth $710 million have recently expired due to Ethereum’s failure to break above the 3,600 price level.
This means that many options traders were betting that Ether will trade higher now. Despite this, the large number of call options suggests the amount of demand pressure that Ethereum is currently facing, which should continue next month. Therefore, this is a good time for investors to make plans for next month’s call options.
14 June data delivery options
20,000 BTC options expired with a Put Call Ratio of 0.49, a high pain point of $68,500 and a virtual value of $1.35 billion.
200,000 ETH options expired with a Put Call Ratio of 0.36, a maximum pain of $3,600 and a notional value of $710 million. pic.twitter.com/42ruZLLtqc– Greeks.live (@GreeksLive) June 14, 2024
How High Can the Ethereum Price Go Up?
The demand for Ethereum is growing. This indicates that traders expect the price to continue to rise in the near term. Accumulation was high in the middle of the week, the incumbents were eating badly more than 298,000 ETH in 24 hours. Again, in the chain data from Sentiment shows that the top 10 exchanges have recognized their ETH holding passes 8.6% in the past few days as traders piled into private wallets. Notably, the withdrawal peak also saw 336,000 ETH worth $1.2 billion. released on Coinbase Wednesday and Thursday.
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On the other hand, Ethereum, which started last week to trade around 3,700 dollars, tried hard to cross the resistance of 3,600 dollars over the weekend. The increase in call options, as well as the growing demand, suggests that Ethereum will easily break above $3,600 in the new week. A break above $3,600 and $3,700 would be very positive and could initiate a long-term rally.
Featured image from Flow, chart from TradingView
