On December 24th, COINOTAG reported insights from QCP’s latest market analysis. Following last week’s significant downturn, the cryptocurrency market exhibited a period of stability as the holiday season approaches. Currently, spot prices are fluctuating within a narrow range, yet traders are gearing up for a crucial event occurring this Friday—the expiration of nearly $20 billion in BTC and ETH options, which represents close to half of Deribit’s overall open interest. This event may trigger traditional end-of-quarter volatility, particularly as spot prices remain dynamic and option sellers prepare to unwind their positions.
In contrast to typical sellers who must hold collateral until expiration, many call option buyers have already liquidated their holdings. Should BTC manage to breach the $100,000 threshold, heightened volatility is anticipated. Meanwhile, BTC is maintaining its position below this critical mark, with altcoins beginning to regain momentum—a phenomenon reminiscent of previous instances when BTC hovered around similar price points. With BTC’s market dominance at 58%, any substantial dip below this level could signal a broader shift toward altcoin investments.