Bitcoin options worth over $9.4 billion are set to expire on the Deribit exchange on March 29. Analysts believe that Bitcoin’s “max pain” price could be around the $50,000 range. Approximately 134,000 BTC of open interest will expire, indicating a max pain price of $50,000. This refers to the strike price with the most open Bitcoin options contracts, which would result in financial losses for most option holders at expiration.
According to data shared by Unfolded, Bitcoin may experience a correction to the $51,000 mark if inflows in spot Bitcoin exchange-traded funds (ETFs) slow down. Ki Young Ju, the founder and CEO of CryptoQuant, stated that if the outflows from spot Bitcoin ETFs continue to be negative, a correction could occur. However, on March 25, the ETFs saw over $15 million worth of net flows, coinciding with Bitcoin’s highest daily close above $69,000 in the past ten days. On March 26, the ten Bitcoin ETFs saw a combined net inflow of $418 million.
Analyst Rekt Capital noted that Bitcoin’s pre-halving price correction followed historical retracement patterns seen before previous halvings. If Bitcoin’s old all-time high of $69,000 becomes a support level, it could potentially break out towards new all-time highs.
Bitfinex analysts believe that last week’s price correction indicates that Bitcoin has already formed a local bottom or is close to doing so. However, it is important to note that this article does not provide investment advice, and readers should perform their own research before making any decisions.