The put/call ratio for Bitcoin options on Deribit has risen to 1.66, indicating that more investors are betting on or hedging against a price decline

ChainCatcher news, according to The Block, Bitcoin options on Deribit are nearing expiration, with the put/call ratio rising to 1.66. A ratio above 1 indicates that there are significantly more put options traded than call options. This suggests that more investors are betting on or hedging against a price decline rather than an increase.

Deribit CEO Luuk Strijers stated that Friday's large quarterly expiration may be affected by the "quadruple witching" in the U.S. markets and the associated volatility. Quadruple witching occurs four times a year, around the end of each quarter, when index futures, index options, stock options, and futures contracts expire simultaneously. A large number of contracts expiring may impact spot prices, as position liquidations and contract rollovers can lead to significant price fluctuations. However, spot prices close to the maximum pain point may alleviate some of this impact, as the maximum pain point represents the level at which the most options contracts expire worthless.