Bitcoin Poised for Gains as Record $24B Options Expiry Removes Price Cap

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  • Bitcoin is predicted to potentially hit $100,000 following a significant options expiry valued at $23.7 billion.

  • Traders are frustrated with Bitcoin's stagnant price movement, while gold and silver hit historical highs.

  • A crucial options expiry event is anticipated to trigger upward movement in Bitcoin's price.

Bitcoin Eyes $100,000 Target as Post-Expiry Volatility Looms

As the Christmas holidays approach, Bitcoin remains steady at $87,000, with traders poised for potential volatility driven by a landmark options expiry event slated for Friday. Data from TradingView highlights this milestone, encompassing 300,000 BTC option contracts, equivalent to a staggering $23.7 billion. QCP Capital, in its latest market update, explained that Bitcoin traditionally sees 5-7% fluctuations during the holiday season, often influenced by year-end options expiries. This forthcoming expiry represents more than half of the open interest on major exchange Deribit, with the "max pain" threshold at $95,000.

QCP suggests the expiry event could clarify market positioning and whether December's large 85k Puts will be rolled forward, closed, or adjusted along the curve. Executive David Eng previously described the event as a "lid" restraining Bitcoin’s price potential, but post-expiry could shift its structure, aiming for an initial $100,000 target. This strategic setup often sees volatility subdued by design, only to be unleashed by the expiry calendar.

Bitcoin Stagnant as Gold and Stocks Climb Higher

In the short term, Bitcoin’s lack of movement, stuck between $85,000 and $90,000, is testing investors' patience. Crypto expert Michaël van de Poppe noted the stasis is a "waiting game" as stock markets potentially need to peak before capital returns to cryptocurrencies. Cointelegraph reports an all-time high for gold at $4,500 per ounce, with silver also advancing, experiencing price discovery through the week. However, market commentator Garrett cautions that the rise in silver, palladium, and platinum might be an unsustainable short squeeze, with reversals potentially dragging gold down and encouraging capital rotation back into Bitcoin and Ethereum.

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