Record $27B BTC/ETH Options Expiry as Bitcoin Holds Above $88K — Year‑end Liquidity and Next 100x Picks
Bitcoin trades steadily above $88,600 as a record combined $27 billion of Bitcoin and Ethereum options expire on Deribit on December 26. The large expiry could clear hedging pressures that have kept BTC between $85K–$90K, potentially allowing ETF flows and institutional demand to more directly influence price. Ethereum sits near $2,962 while SOL and Uniswap show modest gains. Market volume remains low due to post-holiday conditions; traders expect renewed capital inflows as markets reopen fully toward year-end and into January. Notable developments: Lighter, a decentralized perpetual protocol and Ethereum Layer‑2, published audited source code ahead of a token generation event, increasing transparency. The article highlights 2025’s high liquidation totals (~$150–$154B) as a reminder of leverage risks. Key takeaways for traders: monitor options expiry delta and pinning effects, watch for relief in mechanical hedging, track ETF/institutional flows, and assess liquidity depth when hunting high‑upside altcoin opportunities in DeFi perpetuals, ZK scaling and high‑volume trading platforms.
Neutral
The immediate market effect is likely neutral-to-slightly bullish. A $27B BTC/ETH options expiry is large enough to remove mechanical hedging pressure that compressed Bitcoin’s range; if dealer delta hedges unwind, BTC could see clearer directional moves driven by ETF and institutional flows. Historically (large monthly/quarterly expiries) expiries often cause short-term volatility and transient pinning near strike clusters but do not guarantee trend changes. Low holiday liquidity amplifies moves in either direction. Positive signals include ETF inflows and reduced hedging; negative risks include liquidation cascades if expiries trigger quick moves and thin order books. For traders: expect elevated intraday volatility around settlement, monitor open interest and strike concentration (pin risk), watch ETF flow data and funding rates, and size positions conservatively given low liquidity and high 2025 liquidation history. Longer term, removal of mechanical resistance combined with steady ETF/institutional demand would be bullish for BTC/ETH, while altcoin upside depends on liquidity and genuine adoption metrics rather than speculative leverage.