Industry experts suggest a prevailing bullish sentiment in the Ether options market for the end of April expiry, with a bias towards upward movement.
Data from Deribit shows a significant tilt towards bullish positions, with approximately $3.3 billion of notional ether options expiring at the end of April, two-thirds of which are bullish bets on price movement.
Wintermute OTC Trader, Jake Ostrovskis, notes call strikes concentrated between $3,700 to $4,000, indicating an inclination towards upside movement and overall bullish sentiment.
The current open interest skew favors call trading at a premium to puts, with an increase in implied volatility suggesting a stronger directional bias and reduced dependence on writing options to finance premiums.
Bullish Put-Call Ratio
The ether put-call ratio for the end of April expiry stands at 0.45, indicating a slightly more bullish sentiment compared to bitcoin options. Traders see relative value in ether, considering its underperformance compared to Bitcoin in 2024.
A put-call ratio below one signifies bullish sentiment, further highlighted by Monday’s ether put-call ratio falling to 0.4, reaching a low not seen since late February.
Despite the bullish outlook, concerns remain about regulatory changes and skepticism around ETF approval by June 30th, 2024, with market sentiment indicating a low probability. Positive developments like the SEC soliciting comments on spot ether ETFs have not been fully embraced.
Ether Price Movement
Ether has seen a 6.8% increase in the past 24 hours, trading at $3,645 as of 11:14 a.m. ET, reinforcing the bullish sentiment in the options market for the end of April expiry.
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