June 26 (Cointime) - Bitcoin's recent 15% surge has led to a significant event on the horizon, as 150,633 bitcoin options contracts worth $4.57 billion and 1.23 million ether contracts valued at $2.3 billion are set to expire on the Deribit exchange. The contracts due for settlement account for 43% of the total open interest, with investors buying call options with strike prices at and above $30,000.
This has resulted in a large build-up of open interest at $30,000, which could cause an explosive rally or price slide if the spot price moves away from this level due to dealers' negative gamma positioning. However, the risk of a gamma squeeze in Ethereum's native token is relatively low, as market makers have accumulated long gamma positions.
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