• bitcoinBitcoin (BTC) $ 58,174.00
  • ethereumEthereum (ETH) $ 3,127.57
  • tetherTether (USDT) $ 0.999357
  • bnbBNB (BNB) $ 522.98
  • solanaSolana (SOL) $ 133.41
  • usd-coinUSDC (USDC) $ 0.999829
  • staked-etherLido Staked Ether (STETH) $ 3,126.20
  • xrpXRP (XRP) $ 0.441052
  • the-open-networkToncoin (TON) $ 7.19
  • dogecoinDogecoin (DOGE) $ 0.107550
  • cardanoCardano (ADA) $ 0.376809
  • tronTRON (TRX) $ 0.127214
  • avalanche-2Avalanche (AVAX) $ 25.45
  • shiba-inuShiba Inu (SHIB) $ 0.000015
  • wrapped-bitcoinWrapped Bitcoin (WBTC) $ 58,248.00
  • polkadotPolkadot (DOT) $ 5.73
  • chainlinkChainlink (LINK) $ 12.91
  • bitcoin-cashBitcoin Cash (BCH) $ 342.62
  • uniswapUniswap (UNI) $ 7.84
  • leo-tokenLEO Token (LEO) $ 5.75
  • nearNEAR Protocol (NEAR) $ 4.78
  • daiDai (DAI) $ 0.998462
  • litecoinLitecoin (LTC) $ 67.82
  • matic-networkPolygon (MATIC) $ 0.505800
  • wrapped-eethWrapped eETH (WEETH) $ 3,254.38
  • kaspaKaspa (KAS) $ 0.169109
  • pepePepe (PEPE) $ 0.000009
  • ethena-usdeEthena USDe (USDE) $ 0.998183
  • internet-computerInternet Computer (ICP) $ 6.87
  • renzo-restaked-ethRenzo Restaked ETH (EZETH) $ 3,159.47
  • ethereum-classicEthereum Classic (ETC) $ 21.25
  • fetch-aiArtificial Superintelligence Alliance (FET) $ 1.22
  • moneroMonero (XMR) $ 157.97
  • aptosAptos (APT) $ 6.21
  • render-tokenRender (RNDR) $ 6.77
  • stellarStellar (XLM) $ 0.088539
  • hedera-hashgraphHedera (HBAR) $ 0.068219
  • okbOKB (OKB) $ 40.41
  • cosmosCosmos Hub (ATOM) $ 6.16
  • crypto-com-chainCronos (CRO) $ 0.086744
  • arbitrumArbitrum (ARB) $ 0.708803
  • mantleMantle (MNT) $ 0.688567
  • filecoinFilecoin (FIL) $ 3.88
  • makerMaker (MKR) $ 2,269.47
  • blockstackStacks (STX) $ 1.43
  • immutable-xImmutable (IMX) $ 1.36
  • injective-protocolInjective (INJ) $ 20.66
  • first-digital-usdFirst Digital USD (FDUSD) $ 0.997599
  • vechainVeChain (VET) $ 0.023280
  • dogwifcoindogwifhat (WIF) $ 1.85
  • suiSui (SUI) $ 0.706927
  • rocket-pool-ethRocket Pool ETH (RETH) $ 3,494.52
  • the-graphThe Graph (GRT) $ 0.180822
  • optimismOptimism (OP) $ 1.51
  • bittensorBittensor (TAO) $ 227.87
  • ondo-financeOndo (ONDO) $ 1.08
  • mantle-staked-etherMantle Staked Ether (METH) $ 3,249.23
  • arweaveArweave (AR) $ 23.40
  • bitget-tokenBitget Token (BGB) $ 1.08
  • lido-daoLido DAO (LDO) $ 1.69
  • bonkBonk (BONK) $ 0.000022
  • flokiFLOKI (FLOKI) $ 0.000149
  • whitebitWhiteBIT Coin (WBT) $ 9.40
  • based-brettBrett (BRETT) $ 0.133667
  • theta-tokenTheta Network (THETA) $ 1.32
  • fantomFantom (FTM) $ 0.458423
  • thorchainTHORChain (RUNE) $ 3.62
  • aaveAave (AAVE) $ 81.05
  • notcoinNotcoin (NOT) $ 0.011666
  • ether-fi-staked-ethether.fi Staked ETH (EETH) $ 3,125.12
  • jasmycoinJasmyCoin (JASMY) $ 0.023407
  • algorandAlgorand (ALGO) $ 0.134306
  • jupiter-exchange-solanaJupiter (JUP) $ 0.784278
  • eosEOS (EOS) $ 0.514068
  • quant-networkQuant (QNT) $ 72.22
  • pyth-networkPyth Network (PYTH) $ 0.287010
  • celestiaCelestia (TIA) $ 4.97
  • coredaoorgCore (CORE) $ 1.05
  • gatechain-tokenGate (GT) $ 7.23
  • flare-networksFlare (FLR) $ 0.021516
  • kelp-dao-restaked-ethKelp DAO Restaked ETH (RSETH) $ 3,162.71
  • zebec-protocolZebec Protocol (ZBC) $ 0.017888
  • kucoin-sharesKuCoin (KCS) $ 9.27
  • sei-networkSei (SEI) $ 0.288135
  • elrond-erd-2MultiversX (EGLD) $ 31.17
  • galaGALA (GALA) $ 0.023252
  • flowFlow (FLOW) $ 0.552354
  • tokenize-xchangeTokenize Xchange (TKX) $ 9.99
  • axie-infinityAxie Infinity (AXS) $ 5.20
  • ethereum-name-serviceEthereum Name Service (ENS) $ 23.79
  • bittorrentBitTorrent (BTT) $ 0.00000078
  • bitcoin-svBitcoin SV (BSV) $ 37.94
  • akash-networkAkash Network (AKT) $ 3.08
  • beam-2Beam (BEAM) $ 0.014538
  • msolMarinade Staked SOL (MSOL) $ 161.25
  • fasttokenFasttoken (FTN) $ 2.29
  • usddUSDD (USDD) $ 0.995030
  • ethenaEthena (ENA) $ 0.425152
  • starknetStarknet (STRK) $ 0.558208
  • dydx-chaindYdX (DYDX) $ 1.19
  • neoNEO (NEO) $ 10.02
  • tezosTezos (XTZ) $ 0.704810
  • ordinalsORDI (ORDI) $ 32.51
  • gnosisGnosis (GNO) $ 255.11
  • the-sandboxThe Sandbox (SAND) $ 0.288421
  • mantra-daoMANTRA (OM) $ 0.782261
  • fraxFrax (FRAX) $ 0.996810
  • pendlePendle (PENDLE) $ 4.05
  • lido-staked-solLido Staked SOL (STSOL) $ 159.06
  • frax-etherFrax Ether (FRXETH) $ 3,129.79
  • nexoNEXO (NEXO) $ 1.07
  • safeSafe (SAFE) $ 1.40
  • roninRonin (RON) $ 1.78
  • conflux-tokenConflux (CFX) $ 0.136843
  • tether-goldTether Gold (XAUT) $ 2,359.91
  • oasis-networkOasis Network (ROSE) $ 0.085706
  • zksyncZKsync (ZK) $ 0.156892
  • chilizChiliz (CHZ) $ 0.064921
  • coinbase-wrapped-staked-ethCoinbase Wrapped Staked ETH (CBETH) $ 3,364.51
  • heliumHelium (HNT) $ 3.42
  • worldcoin-wldWorldcoin (WLD) $ 2.16
  • ecasheCash (XEC) $ 0.000029
  • decentralandDecentraland (MANA) $ 0.297910
  • havvenSynthetix Network (SNX) $ 1.69
  • book-of-memeBOOK OF MEME (BOME) $ 0.008041
  • swethSwell Ethereum (SWETH) $ 3,307.80
  • mog-coinMog Coin (MOG) $ 0.000001
  • mina-protocolMina Protocol (MINA) $ 0.466729
  • dexeDeXe (DEXE) $ 9.21
  • dog-go-to-the-moon-runeDOG•GO•TO•THE•MOON (Runes) (DOG) $ 0.005265
  • klay-tokenKlaytn (KLAY) $ 0.141517
  • iotaIOTA (IOTA) $ 0.154905
  • wormholeWormhole (W) $ 0.285388
  • apecoinApeCoin (APE) $ 0.801253
  • true-usdTrueUSD (TUSD) $ 0.998219
  • staked-frax-etherStaked Frax Ether (SFRXETH) $ 3,410.51
  • aioz-networkAIOZ Network (AIOZ) $ 0.451950
  • pancakeswap-tokenPancakeSwap (CAKE) $ 1.85
  • wemix-tokenWEMIX (WEMIX) $ 1.19
  • nervos-networkNervos Network (CKB) $ 0.010176
  • 1inch1inch (1INCH) $ 0.359244
  • livepeerLivepeer (LPT) $ 13.31
  • popcatPopcat (POPCAT) $ 0.446786
  • theta-fuelTheta Fuel (TFUEL) $ 0.066238
  • singularitynetSingularityNET (AGIX) $ 0.528159
  • raydiumRaydium (RAY) $ 1.64
  • pax-goldPAX Gold (PAXG) $ 2,330.72
  • apenftAPENFT (NFT) $ 0.00000044
  • bitcoin-goldBitcoin Gold (BTG) $ 23.51
  • kavaKava (KAVA) $ 0.377584
  • stader-ethxStader ETHx (ETHX) $ 3,225.67
  • axelarAxelar (AXL) $ 0.567713
  • usdbUSDB (USDB) $ 0.990827
  • paypal-usdPayPal USD (PYUSD) $ 0.999471
  • mx-tokenMX (MX) $ 4.08
  • xdce-crowd-saleXDC Network (XDC) $ 0.026797
  • trust-wallet-tokenTrust Wallet (TWT) $ 0.952320
  • illuviumIlluvium (ILV) $ 59.50
  • terra-lunaTerra Luna Classic (LUNC) $ 0.000071
  • astarAstar (ASTR) $ 0.064600
  • arkhamArkham (ARKM) $ 1.55
  • compound-ethercETH (CETH) $ 62.84
  • rocket-poolRocket Pool (RPL) $ 17.30
  • aevo-exchangeAevo (AEVO) $ 0.418998
  • safepalSafePal (SFP) $ 0.766261
  • iotexIoTeX (IOTX) $ 0.037273
  • woo-networkWOO (WOO) $ 0.183302
  • corgiaiCorgiAI (CORGIAI) $ 0.001020
  • layerzeroLayerZero (ZRO) $ 3.19
  • echelon-primeEchelon Prime (PRIME) $ 7.75
  • sats-ordinalsSATS (Ordinals) (SATS) $ 0.00000015
  • kusamaKusama (KSM) $ 21.29
  • cat-in-a-dogs-worldcat in a dogs world (MEW) $ 0.003607
  • osmosisOsmosis (OSMO) $ 0.474479
  • pepecoin-2PepeCoin (PEPECOIN) $ 2.70
  • curve-dao-tokenCurve DAO (CRV) $ 0.253502
  • aragonAragon (ANT) $ 7.91
  • stepnGMT (GMT) $ 0.138950
  • compound-governance-tokenCompound (COMP) $ 45.64
  • memecoin-2Memecoin (MEME) $ 0.014857
  • manta-networkManta Network (MANTA) $ 0.923703
  • radixRadix (XRD) $ 0.029382
  • zilliqaZilliqa (ZIL) $ 0.015835
  • golemGolem (GLM) $ 0.292004
  • m2-global-wealth-limited-mmxMMX (MMX) $ 2.04
  • zcashZcash (ZEC) $ 19.19
  • blurBlur (BLUR) $ 0.167823
  • compound-wrapped-btccWBTC (CWBTC) $ 1,167.93
  • justJUST (JST) $ 0.028987
  • constitutiondaoConstitutionDAO (PEOPLE) $ 0.055146
  • blastBlast (BLAST) $ 0.015962
  • celoCelo (CELO) $ 0.507725
  • liquid-staked-ethereumLiquid Staked ETH (LSETH) $ 3,281.78
  • holotokenHolo (HOT) $ 0.001534
  • dydxdYdX (ETHDYDX) $ 1.19
  • origintrailOriginTrail (TRAC) $ 0.666772
  • enjincoinEnjin Coin (ENJ) $ 0.166203
  • h2o-daoH2O Dao (H2O) $ 0.325783
  • dashDash (DASH) $ 22.55
  • 0x0x Protocol (ZRX) $ 0.313420

Ether Options Market Makers Are ‘Long Gamma’ at $1.8K

0 185

Ether Options Market Makers Are 'Long Gamma' at $1.8K

Ether (ETH), the second largest cryptocurrency by market value, has been largely locked in a narrow price range around $1,800 since mid-May and is unlikely to move much in the short term, market makers’ positions in the options market indicate.

That’s because the market makers, the dealers tasked with providing liquidity to an exchange’s order book and who are always on the opposite side of investors’ bets, are forced to hedge their options exposure through offsetting positions in the spot or futures market in order to run a market-neutral, or delta-neutral, portfolio. Their so-called delta hedging actions as the underlying asset moves can influence the spot market price and are known to arrest price swings.

According to Jeff Anderson, a senior trader at STS Digital, market makers are currently stuffed with what’s known as long gamma positions in the $1,800 strike price ether options due to expire on June 30. Market makers are said to be long gamma at a particular price level when they have bought options at that level.

«So, as we go higher, market makers will likely sell ETH. On the flip side, market makers would buy the cryptocurrency on price dips,» Anderson told CoinDesk. «So, the spot price could stay close to $1,800.»

Options are contracts that give the purchaser the right, but not the obligation, to trade the underlying asset at a predetermined price on or before a specific date. A call option gives the right to buy while put the put option offers the right to sell. Being long gamma means holding a buy position in call or put options.

The long gamma positioning forces market makers to snap up the underlying asset when the price falls below the said level to keep the overall portfolio market-neutral. Similarly, they sell the asset when the price rallies. Gamma refers to the rate of change in options delta per one-point move in the underlying asset.

Griffin Ardern, a volatility trader from crypto asset management firm Blofin, said the delta hedging by market makers could strongly influence the spot price.

«Considering the lack of enthusiasm among futures and perpetual futures traders right now, the impact of market maker hedging could be significant,» Ardern said.

Source

Leave A Reply

Your email address will not be published.