- Traders became optimistic as ETH’s price grew.
- Sentiment around ETH spiked and network usage remained the same.
Ethereum [ETH] bears recently met their day of reckoning as ETH’s prices surged after the latest Ethereum ETF development. Due to the spike in ETH price, trader behavior was impacted significantly.
Looking at the traders
According to Greeks.Live’s data, there are 220,000 ETH options that are set to expire soon.
The Put Call Ratio for these options stands at 0.42, indicating a higher interest in call options compared to put options. The max pain point for ETH options is identified at $1,700, which is a level where market participants may have incentives to move the price.
10 Nov Options Data
32,000 BTC options are about to expire with a Put Call Ratio of 0.68, a max pain point of $34,000 and a notional value of $1.18 billion.
220,000 ETH options are about to expire with a Put Call Ratio of 0.42, a max pain of $1,700 and a notional value of $410… pic.twitter.com/N7SDi1wra2— Greeks.live (@GreeksLive) November 9, 2023
The notional value of these options is $410 million, signifying the total value of these financial instruments on the market.
This level of activity in the ETH options market suggests significant investor interest in Ethereum. As these options expire, they may impact the price and market sentiment around ETH.
These details are noteworthy as they coincide with ETH reaching new all-time highs. The increase in Implied Volatility (IV) percentages for ETH, which currently stands at 60%, indicates market expectations for heightened price volatility.
This is often a result of optimism among investors and traders, contributing to the overall bullish atmosphere in the ETH market.
Market sentiment
The current situation with Ethereum options indicates that many investors are feeling positive about ETH’s future. They believe its price will likely go up, and this optimism is contributing to ETH reaching new all-time highs.
This strong demand and interest in ETH options are signs of confidence in the cryptocurrency. However, the market is also expecting short-term price fluctuations, as shown by the high Implied Volatility (IV).
While the overall sentiment is bullish, it’s important to move with caution while going into trades.
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At press time, ETH was trading at $2,113.32. The weighted sentiment around ETH has grown. This showed that the positive comments around ETH had outnumbered the negative ones on social media.
Activity on the Ethereum network also remained stable during this period. This was implied by rhe average gas used which remained high during this period.
Source: Santiment