Bitcoin Options Craze: OI Looks Set To Keep Printing ATHs, Glassnode Says

Glassnode has explained how the Bitcoin options Open Interest has been climbing recently and looks set to explore new all-time highs (ATHs). Bitcoin Options Open Interest Has Already Bounced Back From Oct Expiry In a new thread on X, analytics firm Glassnode has discussed about the Bitcoin options ￰0￱ segment of derivatives trading involves traders betting on future price moves through contracts giving the right (but not the obligation) to sell or buy the cryptocurrency at a set ￰1￱ Reading: Bitcoin Erases Recovery As Coinbase Users Relentlessly Sell Earlier, perpetual futures was the main derivatives trading pathway that investors in the sector used, but recently, demand for options has grown enough to challenge the futures ￰2￱ way to gauge interest in options is through the Open Interest, an indicator that measures the total amount of contracts related to the market that are currently open on all centralized ￰3￱ is the chart shared by Glassnode that shows the trend in the Bitcoin options Open Interest over the last few months: As displayed in the above graph, the Bitcoin options Open Interest reached a new record on October ￰4￱ after, however, the metric saw a plunge due to the contract ￰5￱ contracts come with an “expiry” date, on which the contract get either exercised or automatically closed out.

A large amount of these expiries coincided on October 31st, which is why the indicator saw a flush. Interestingly, the options Open Interest has been quick to bounce back since then, with its value already halfway back to the ATH. Thus, it would appear demand for options is still alive and ￰6￱ the chart, it’s apparent that a similar pattern was also witnessed after the previous major expiry, when the metric gradually recovered and explored new records. “The options market open interest looks set to keep printing new ATHs, expiry after expiry,” explained the analytics ￰7￱ Reading: Bitcoin At Increased Risk Of Falling To $88,500 Support, Glassnode Warns In terms of trading volume, activity related to the market has been at notable levels since Bitcoin fell below the $107,000 level, as the below chart ￰8￱ the volume related to the options market has changed over the past month |