Bitcoin News Today: Over $6.2 Billion Crypto Options Set for Friday Expiry Spur Volatility Fears

Crypto traders are preparing for a high-stakes event as over $6.2 billion in Bitcoin, Ethereum, and XRP options contracts are set to expire on Friday, raising concerns about potential price drops and increased volatility. This expiry, which includes $5.06 billion in BTC options and $1.26 billion in ETH options, has already contributed to a cooling in market activity as of August 10, with further downward pressure expected as expiration day nears [1].

Bitcoin, which reached an all-time high above $124,000, is now trading at $120,650. According to Deribit data, 41,000 BTC options are expiring, with a max pain level set at $118,000. This suggests a strong likelihood of a pullback as market makers and options sellers exert selling pressure. The put-call ratio stands at 0.97, reflecting rising bearish sentiment among derivatives traders. In the last 24 hours, the put-call ratio dropped to 0.53, indicating a heavier weighting of call options and a continuation of bullish bets [1].

Glassnode data shows that 99% of the Bitcoin supply is currently in profit, a level not seen since the market correction in July. This high percentage of profit indicates strong buying pressure and a market where investors are increasingly comfortable holding through volatility. However, reports from Lookonchain highlight that whales and institutions are starting to book profits. A notable wallet linked to Galaxy Digital has both bought and shorted a range of assets, signaling a cautious and hedged approach as the market moves [1].

The Ethereum market also faces a critical test, with 275,000 ETH options totaling nearly $1.26 billion set to expire. The max pain level is at $4,000, and the current price of $4,529 may struggle to hold above this level as options sellers step in. The put-call ratio of 1.03 suggests a bearish tilt, with put options dominating call volume. Analyst Ali Martinez has predicted a potential drop below $4,000, adding to the uncertainty [1].

Whale activity has also intensified as Ethereum approaches its near-all-time high. Market makers, including Cumberland, have executed large sell-offs, dumping 15,129 ETH worth $71.5 million to Coinbase International. These moves indicate heightened caution and a readiness to capitalize on volatility as the options expiry approaches [1].

XRP faces a similar profit-taking environment, with 2,514 XRP options totaling over $7.8 million set to expire. The max pain price is at $3.20, and the current price is already showing signs of downward pressure. Whale flows have turned negative, with over $110 million in XRP moving to Coinbase in recent hours. Analysts suggest that as long as XRP holds above $3.12 and $2.90 support levels, the price could remain resilient despite ongoing liquidations by large holders [1].

The broader crypto market has seen a shift from extreme buying pressure to more subdued activity. While Bitcoin and Ethereum continue to attract attention for their performance and potential ETF-related inflows, the looming options expiry introduces a layer of risk. Traders are bracing for sharp price swings, particularly in Bitcoin and XRP, which have historically shown sensitivity to such events.

Source:

[1] The Coin Republic (https://www.thecoinrepublic.com/2025/08/14/bitcoin-ethereum-xrp-traders-brace-for-options-expiry-will-price-drop-more/)