Open interest for Bitcoin options hit their all-time high of $2.14 billion on Sept. 24, a day before a huge quarterly expiry of 89,100 contracts — i.e., 47% of existing options contracts at the time. Options are derivative contracts that give the holder the right (though not an obligation) to purchase or sell an underlying asset at a predetermined price, also known as the “strike price.”
Observing the OI trends before every monthly and quarterly expiry, there are spikes just before the date of expiry, and they have been incremental after each expiry, pointing toward the increased liquidity in the Bitcoin (BTC) options market and an increasing number of investors participating.
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