As the cryptocurrency market experiences a broader recovery, Bitcoin (BTC) and Ethereum (ETH) prices have seen significant gains, with BTC rising nearly 3% and ETH increasing by 1.8%. This surge in prices comes ahead of a major event: the expiry of 18,000 BTC options and 280,000 ETH options today.

Market participants are closely monitoring the implications of this expiry on the prices of BTC and ETH, as well as the broader cryptocurrency market. According to market analysis from Greeks.live, the Bitcoin options have a Put Call Ratio of 0.64, a Maxpain point at $62,000, and a notional value of $1.2 billion. For Ethereum, the options have a Put Call Ratio of 0.74, a Maxpain point of $3,050, and a notional value of $800 million.

Despite the recent rally, concerns remain due to falling volumes and outflows from US BTC ETFs. However, decreasing implied volatility (IV) has led to a slight recovery in investor confidence. Historically, May has been a challenging month for the cryptocurrency market, adding to the uncertainty surrounding the options expiry.

The surge in prices comes despite reports of an $11.3 million outflow from US Spot Bitcoin ETFs on May 9, with Grayscale's ongoing exodus continuing to weigh on the Bitcoin ETF flows. However, the coming hours post-options expiry are expected to provide clarity on the short-term price trajectory of BTC and ETH.

According to CoinGlass data, the Bitcoin Futures Open Interest (OI) has soared 1.84% to 480.25K BTC or $30.28 billion, while the Ethereum OI has advanced by 0.58% to $10.76 billion. As traders remain vigilant and prepared to react to any significant market movements resulting from the options expiry, the cryptocurrency market is poised for a potentially volatile period ahead.