Key Points
- Bitcoin options worth over $9.4 billion are set to expire on Deribit exchange on March 29.
- Analysts suggest that Bitcoin's "max pain" price could be around $50,000.
Bitcoin options, valued at over $9.4 billion, are due to expire on the Deribit cryptocurrency exchange on March 29.
This has led some analysts to suggest a "max pain" price for Bitcoin around the $50,000 mark.
Max Pain Bitcoin Price Closer to $50K
More than 134,000 BTC worth of open interest will expire on the Deribit exchange at 8 am UTC on Friday. This suggests a max pain price of $50,000, based on data shared by Unfolded on March 27.
The max pain price is the strike price with the most open Bitcoin options contracts. It is the price that would cause the most financial loss for most option holders at expiration.
Bitcoin might see a correction to the $51,000 mark if inflows in spot Bitcoin exchange-traded funds (ETFs) slow down. This was suggested by Ki Young Ju, the founder and CEO of CryptoQuant, in a March 22 post.
Bitcoin Correction Over?
The pre-halving price correction of Bitcoin occurred in line with previous historical retraces ahead of the halving. This was pointed out by analyst Rekt Capital on March 25.
If the old all-time high of $69,000 is flipped into support, Bitcoin price could break out toward new all-time highs, according to a video analysis by Rekt Capital on March 26.
The price correction of Bitcoin last week suggests that the price has already formed a local bottom, or is close to doing so. This was according to a research note by Bitfinex analysts.
