Bitcoin (BTC) began to thrive at the end of the year on December 31st, as the rally showed BTC / USD brought back $ 48,000.
1-hour candlestick chart BTC / USD (Bitstamp). Source: TradingView
Expiration of options disappears
Data from Cointelegraph Markets Pro and TradingView showed that BTC / USD surged over $ 1,500 in one hour on Friday.
A refreshing counterbalance to several days of downtrend, the move gave insight into what could happen in the cryptocurrency market, where liquidity is lower than usual during the holiday period.
Futures + Option Expiration
– IamNomad (@IamNomad) December 31, 2021
The December nearly $ 6 billion bitcoin options expiration event could provide instant relief, traders argued, as it traditionally put pressure on BTC price movements in advance.
A poll conducted on the Bitcoin Twitter account earlier in December showed that most participants expected BTC / USD to be above $ 55,000 by the time it expires.
Bitcoin survey on Twitter. Source: Twitter
As Cointelegraph reported, there are growing expectations that a “takeover” in BTC ownership will result in institutions playing a more important role in general starting next month.
Professional trading platform Coinbase Pro saw nearly 10,000 BTC leave their ledgers 24 hours before the surge.
Relief carries over to altcoins
Since volatility was far from lacking in bitcoin, altcoins seized the opportunity to follow suit, offsetting some of their losses over the week.
Related: Small Forkers: BCH And BSV Will Be Crushed By Bitcoin Price In 2021
Ether (ETH), the largest altcoin by market cap, has traded at around $ 3,800 at the time of writing, still down 7.2% in the past seven days and below the $ 4,000 mark.
1-hour candlestick chart ETH / USD (Bitstamp). Source: TradingView
At the time of writing, the top 10 cryptocurrencies by market cap have seen gains ranging from 1.5% to 4%.