Bitcoin’s price falls to $61,700, defying the max pain theory as $10 billion in options near expiry on Deribit.
Bitcoin slid below $61,700, extending losses from $67,000 as $10 billion in options approach expiry on Deribit. The max pain level, where options buyers face maximum losses, stands at $72,000, far above current prices.
The max pain theory suggests prices gravitate toward a level causing the most financial pain for options holders. However, recent settlements have not shown the expected pinning effect, with Bitcoin trading well below the $72K mark.
Friday’s expiry is expected to trigger volatility as billions in contracts expire or roll over, despite weak max pain dynamics. The event remains a key liquidity moment for crypto markets.