$10B in Bitcoin Options Set to Expire May 31 on Deribit
Bitcoin (BTC) is poised for a potential wave of volatility as $10 billion worth of BTC options are set to expire on Friday, May 31, at 08:00 UTC on Deribit, the world’s largest crypto options exchange.
Over 93,000 BTC options contracts are due for expiry, with more than 53% being bullish call options.
Each option contract represents one BTC, making the $95,000 to $105,000 range a key battleground for traders this week.
Delta and Gamma Set the Stage for Volatility
The market is closely watching strikes at $95K, $100K, and $105K, which hold the highest concentration of delta exposure—a measure of directional risk.
“The largest delta concentration is in Deribit BTC’s May 30 expiry, with $2.8 billion delta exposure led by strikes at $100K, $105K, and $95K,” crypto derivatives platform Volmex reported on X.
This clustering increases the odds of large-scale hedging activity, especially as gamma risk—which measures sensitivity to price changes—intensifies near expiry.
“Expect volatility! Any move can trigger aggressive dealer hedging,” Volmex warned.
DVOL Index Suggests Market Calm—For Now
Despite the looming expiry, Deribit’s DVOL index—a gauge of 30-day implied volatility—has been trending downward, signaling market participants aren’t overly concerned.
At the time of writing, Bitcoin is trading at $107,700, following recent highs above $111,000, per CoinDesk.
Meanwhile, Volmex’s one-day implied volatility index rose slightly to 45.4%, implying an expected 2.37% price swing within 24 hours.
What Traders Should Watch
The key level to monitor is $100,000, where delta and gamma exposure converge. A sharp price move above or below this range could trigger cascading hedging actions from both retail investors and market makers.
BTC’s directional movement around the $95K–$105K zone could determine its next major leg—either continuation toward new highs or a sharp pullback.
Conclusion
As the $10B BTC options expiry nears, traders should brace for volatility, especially within the $95K to $105K range, where delta and gamma risk is most concentrated. With Bitcoin still hovering near all-time highs, this Friday’s options event could be a key pivot point for the market.