Deribit Exchange’s $28B Options Expiry Creates Market Tremors as BTC and ETH Hit Maximum Pain Points

Deribit's year-end options expiry has made crypto history, with a record $28 billion in notional value settling—comprising 267,000 BTC contracts ($23.6B) and 1.28 million ETH contracts ($3.71B). The maximum pain strikes landed at $95,000 for BTC and $3,100 for ETH. A put/call ratio of 0.35 points to sustained bullish sentiment, even amid potential volatility.

Institutional activity is evident across the board. March options now account for 30% of open interest as major players reposition. 'This wasn't just an expiry—it was a liquidity earthquake,' noted a hedge fund manager based in Singapore. Deribit solidifies its role as a key market sentiment indicator, commanding roughly 50% of global crypto options volume.

The deeper narrative lies below the surface. While BTC's $95K maximum pain suggests overhead resistance, ETH's $3.1K level indicates building support. Market watchers are eyeing potential gamma squeezes as dealers adjust their hedges post-expiry. As a memo from Coinbase's institutional desk cautioned, 'When derivatives markets sneeze, spot markets catch a cold.'