Bitcoin traders watch $32K ahead of Friday's $330M BTC options expiry
July 22, 2021. Summarized by summa-bot.
Compression ratio: 42.6%. 1 min read.
Bulls managed to find some momentum, but holding the $32,000 support level will determine who is the victor of Friday's $330 million BTC options expiry.
This Friday's weekly Bitcoin (BTC) options expiry currently holds a $330 million open interest.
The move seems to have been sparked by Elon Musk's statement that his firm SpaceX also holds Bitcoin.
During the July 21 meet-up with Cathie Wood and Jack Dorsey, Musk said that despite the rumors, he completely opposes recent speculations that Tesla has been selling some of its Bitcoin position.
Friday's options expiry might be the first strength test of this recent bounce.
The 0. 81 reading reflects a smaller amount of neutral-to-bullish call (buy) options for the July 23 expiry.
However, bears might have set themselves a trap because 96% of the put options used $32,000 or lower strike prices.
If Bitcoin manages to stay above that level at 8:00 AM UTC on Friday, only $8 million put options will take part in the expiry.
On the other hand, there is $29 million worth of call options up to the $32,000 strike price.
If $32,000 fails to hold, bears will have a $9 million lead because only 9% of the call options have been placed at $31,000 or lower.
Neither outcome is of extreme significance, but the profits could be used for the larger upcoming monthly options expiry on July 30.