Cryptocurrency Markets Experience Volatility as Options Expire
The cryptocurrency markets are showing volatility on the last Friday of 2024 due to massive options expiries. Market players are hedging themselves and repositioning ahead of the new year, leading to unpredictable buy and sell pressure. Bitcoin options worth approximately $11 billion have expired today, reaching a new all-time high. Bitcoin (BTC) is currently trading around $42,000, down about 1.5% in the past 24 hours, while Ether (ETH) is around $2,300, down approximately 2.5% over the same time period. Altcoins are experiencing mixed conditions, with Solana (SOL) up 4.5% in the $103s, BNB (BNB) down 6.5%, and Cardano (ADA) down 2.5%. Traders are closely watching key drivers for 2024, including potential near-term spot Bitcoin ETF approvals in the US, Ethereum’s Dencun upgrade, the Bitcoin issuance rate halving, the start of a new Fed interest rate cutting cycle, US elections, and developments in major crypto lawsuits such as the US SEC vs Ripple and the US SEC vs Binance and Coinbase.
