Cryptocurrency traders are preparing for the expiration of 21k Bitcoin options, causing anticipation that BTC and ETH prices may decrease before the upcoming Bitcoin halving event.

Despite slight rebounds, Bitcoin and Ethereum prices are still facing downward pressure as the expiration of nearly $2.5 billion worth of Bitcoin and Ethereum options looms. Traders are cautious of the increased volatility surrounding Bitcoin halving, with expectations of limited upside momentum due to various factors affecting the market.

Experts anticipate continued volatility in the crypto market post-Bitcoin halving due to negative sentiments and challenging conditions such as the recent hot CPI data and decreased trading volumes in the derivatives market. Sell contracts have dominated trading activities, casting doubt on overly optimistic expectations surrounding the halving event.

More than 21,000 BTC options with a total value of $1.51 billion are set to expire, with a put-call ratio of 0.62 suggesting selling pressure. The max pain point at $69,000 indicates the likelihood of Bitcoin prices remaining low. In contrast, over 227,000 ETH options worth almost $0.81 billion are set to expire, with a put-call ratio of 0.49 indicating a potential drop in ETH prices. Traders are advised to monitor volumes closely for insights into future price movements.

BTC is currently trading at $70,888 with a modest 0.50% increase in the last 24 hours but with declining trading volumes, reflecting reduced trader interest. Total BTC Futures Open Interest has seen a slight increase in the past four hours but remains volatile. On the other hand, ETH is trading at $3,539, down 0.80% in the past day, with total ETH Futures Open Interest experiencing fluctuations as well.

As the expiration of Bitcoin options approaches, the crypto market is bracing for increased uncertainty as traders navigate the potential impact on prices leading up to the Bitcoin halving event.