How does daily options expiration affect the volatility of cryptocurrencies?

3 answers

• Philippe TrottierJun 17, 2025 · 2 months ago
  Yes, the daily expiration of options can indeed affect the volatility of cryptocurrencies. When options expire, it can lead to increased trading activity as traders close out their positions or roll them over to new contracts. This increased trading volume can result in higher price fluctuations and increased volatility in the cryptocurrency market. Additionally, the expiration of options can also trigger certain trading strategies, such as delta hedging, which can further impact the volatility of cryptocurrencies.
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• Tom BrovenderAug 04, 2021 · 4 years ago
  Absolutely! Daily options expiration can have a significant impact on the volatility of cryptocurrencies. As options contracts approach their expiration date, traders may adjust their positions, leading to increased buying or selling pressure. This increased activity can cause price swings and higher volatility in the cryptocurrency market. It's important for traders to stay informed about options expiration dates and consider how it may impact their trading strategies.
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• Hede RileyJul 01, 2021 · 4 years ago
  Daily options expiration plays a crucial role in shaping the volatility of cryptocurrencies. When options contracts expire, it can lead to a surge in trading volume, as traders rush to close their positions or roll them over. This influx of trading activity can create a more volatile market environment, with larger price swings and increased uncertainty. Traders should keep a close eye on options expiration dates and consider the potential impact on cryptocurrency prices and market conditions.
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