Bitcoin's put-call ratio has surged to 1.66, indicating a higher number of put options than call options, suggesting that investors are more likely to bet on a price decrease than an increase. This pessimistic outlook is a significant shift in market sentiment, as investors prepare for the quarterly options expiry on Friday.

Deribit's end-of-June options data shows 107,000 bitcoin options expiring, with a max pain point of $61,500 and a notional value of $6.6 billion. The max pain point represents the price point at which the most option contracts expire worthless, potentially leading to reduced volatility and increased market stability around the expiry.

Friday marks the quarterly options expiry for both outstanding bitcoin and ether contracts, with a combined notional value exceeding $10 billion set to expire on Deribit. This represents more than 40% of Deribit's current open interest, making it a significant event that could impact the price of both cryptocurrencies.

The large volume of contracts expiring can impact spot prices, as the unwinding of positions and the rolling over of contracts can lead to significant price movements. Investors are positioning themselves accordingly, with the put-call ratio indicating a pessimistic outlook for bitcoin's price.

However, the max pain point could mitigate some of the potential price movements, as option holders may be incentivized to buy or sell bitcoin to minimize their losses. This could lead to increased trading activity and potentially stabilize the market.

In conclusion, the quarterly options expiry is a significant event that could impact the price of bitcoin and ether. The put-call ratio indicates a pessimistic outlook for bitcoin's price, but the max pain point could mitigate some of the potential price movements. Investors are positioning themselves accordingly, and it remains to be seen how the market will respond to this significant event.