Bitcoin has recently shown impressive resilience despite $14.2 billion worth of options expiring in December 2024. However, a significant correction followed, sending BTC down to $93,000! 2025 ultimately promises to be risky for the crypto industry.
Bitcoin faces December 2024 options expiration
BTC price had recently shown remarkable resilience despite the December 2024 options expiration, which threatened a significant correction below $85,000. On December 27, over $14.2 billion worth of Bitcoin options expired at 8:00 UTC, with a “max pain” point at $85,000, indicating the price at which most options contracts would expire worthless.
Despite this critical deadline, bitcoin had reached a high of $97,330 an hour after the options expired. Bitcoin ETFs in the United States had played a crucial role in this dynamic. The day after Christmas, these ETFs had positive net inflows of over $475 million, which helped stabilize the BTC price after the expiration of these options.
A victory celebrated too soon?
This performance of BTC surprised many analysts who expected stronger downward pressure. They were all optimistic about the trajectory of bitcoin in 2025, with some predicting a rise to $160,000! According to them, this BTC feat could have propelled it to a local high above $110,000 in January. However, the correction ultimately got the better of the top crypto.
Because, despite its initial resilience, bitcoin is currently beginning a dizzying fall to $93,900and is heading straight towards $85,000, according to forecasts. This drop marks a significant correction, highlighting the continued volatility of the crypto market. Investors must remain vigilant in the face of these unpredictable fluctuations.
In sum, despite impressive initial resilience, bitcoin succumbed to options expiration pressure, falling to $93,900. This correction highlights the continued volatility of the crypto market, reminding investors to remain attentive to future developments in the sector.
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