Crypto Markets Stable, But Volatility Awaits in the New Year 2026
The cryptocurrency market on Friday showed relatively stable but dynamic activity, despite low liquidity due to the year-end holidays. Bitcoin (BTC) traded around $86,744–$89,000, moving within a narrow range due to low volume and investors likely awaiting new catalysts. The global crypto market capitalization index rose slightly, approaching $3 trillion, signaling moderate stability amidst the cautious mood.
One of the day's key events was the expiry of BTC and ETH options totaling over $27–28 billion, a record high and potentially triggering short-term volatility as traders close or roll over positions ahead of the year-end. Many of these contracts were at “maximum pain” levels, which could impact spot prices as positions were adjusted.
Market sentiment was also influenced by large-scale institutional activity, such as BlackRock's move of over $200 million in Bitcoin and Ethereum to exchanges, which sparked speculation about rebalancing or potential selling, although subsequent buybacks calmed market concerns.
On the other hand, Ethereum (ETH) is facing pressure as more than 40% of its supply is in a losing position, reflecting recent weak price momentum and the divergent reactions between whales selling and those accumulating coins.
The altcoin sector also shows mixed trends: several smaller tokens recorded significant gains while larger altcoins remained stagnant or weakened, reflecting the dominance of Bitcoin Season in more cautious market conditions.
There are also predictions that Solana (SOL) could outperform Ethereum heading into 2026, as ETF product support and on-chain activity continue to grow.
Overall, although major crypto prices are stable, market fundamentals show mixed sentiment: from potential volatility due to large expiries, significant institutional activity, to pressure on ETH supply. Short-term stability may persist, but cautious sentiment remains dominant heading into the new year of 2026.
Source: Newsmaker.id
