BTC and ETH markets absorb a record year-end options expiry

BTC and ETH markets take on record year-end options expiry as traders liquidate positions worth $28 billion on Deribit

ContentsThe crypto derivatives market is being reinvented by record options expiryMarket sentiment reflects rising caution among tradersOptions positioning points to downside expectationsThe expiry was a monthly, quarterly, and annual combination contract, and it became the biggest event in history. The markets were resilient, but the data of options indicated pessimism and a desire to insure against a fall.

gm to everyone who knows that the largest options expiry day of the year is here

— Deribit (@DeribitOfficial) December 26, 2025

The crypto derivatives market is being reinvented by record options expiry

In the year-end trading period, Deribit recorded the biggest options expiry in crypto history. The event was over 50% of the total number of open options on the site. The amount of trading improved before the settlement with investors reorganizing their portfolios.

Bitcoin options took center stage on the expiry, and approximately 267,000 contracts were expired. The notional annual value of the BTC options was equal to 23.6 billion. The put-to-call ratio was 0.35, indicating that more calls were in demand even though the risk was increasing.

Etherium was also busy, and 1.28 million options were expiring. These agreements were worth not less than $3.71 billion. The highest level of pain realized by ETH options was around the 3,100 level.

Options that have a maturity of March comprise approximately 30% of open interest. The change is an indicator of a new orientation towards the next quarter. The role of institutional participation and large holders increased in terms of scale of activity.

Deribit awaits a record options expiry event, with $28B in notional positions expiring, out of a total open interest of $42B. | Source: CoinGlass*.*

Market sentiment reflects rising caution among traders

The expiry of the options was at a time when there was poor sentiment in the crypto markets. The fear and greed index was 27, which is slightly more than the previous week. The pressure on prices was put on by low liquidity at the end of the year.

Bitcoin and Ethereum were further pressured by lower levels of trade. The optimism about the broader market died following the recent price movements. This is why the fourth quarter of 2025 became one of the most difficult in recent years.

At the beginning of the year, Bitcoin rose to its highs, but he could not manage to maintain the momentum. There was abrupt volatility that triggered selling pressure and long liquidations. The data on options indicated that more hedging was taken against further falls.

Options positioning points to downside expectations

Deribit positioning shows traders are cautious on the near-term prospects of Bitcoin. The clusters of put options are found in the range of 75,000 to 85,000. The highest concentration of open contracts is in the strike of $75,000.

The call options rise beyond the 90,000 mark. This pattern will imply that dealers anticipate opposition prior to the revival of an upswing. The highest possible BTC options are around $95,000, which is above the existing spot prices.

Bitcoin was trading at close to $88,701 in a narrow band over several weeks. Efforts to sell above $90,000 have been met with uniform selling. Analysts project volatility in the short run, trading through skinny holiday trading.

The markets of BTC and ETH can absorb the record year-end expiry of options with a significant lack of severe disruption. But options data reveal continued precautions on the part of traders. The market is currently seeking better directional indicators at the beginning of 2026.