Bitcoin gains $1.5K in under an hour as BTC price erases days of downtrend

Published at: Dec. 31, 2021

Bitcoin (BTC) put in an early end-of-year flourish on Dec. 31 as an upward boost saw BTC/USD retake $48,000.

Options expiry fades

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD abruptly gaining over $1,500 in a single hour on Friday.

A refreshing counterpoint to several days of downtrend, the move gave a taste of what could happen in a crypto market where liquidity is thinner than normal over the holiday period.

Futures + option expiry

— IamNomad (@IamNomad) December 31, 2021

December's Bitcoin options expiry event, worth almost $6 billion, could have provided the snap relief, traders argued, this traditionally pressuring BTC price action beforehand.

A survey by the @Bitcoin Twitter account earlier in December showed that the majority of participants expected BTC/USD to be above $55,000 by the time of the expiry.

As Cointelegraph reported, expectations are mounting that a "flippening" in ownership of BTC will see institutions play a more important role overall beginning next month.

Professional trading platform Coinbase Pro saw almost 10,000 BTC leave its books in the 24 hours prior to the uptick.

Relief spills over to altcoins

With volatility far from absent on Bitcoin, altcoins took the opportunity to follow suit, reversing some of the week's losses.

Related: Little forkers: BCH and BSV get crushed by Bitcoin price in 2021

Ether (ETH), the largest altcoin by market cap, traded at around $3,800 at the time of writing, still down 7.2% over the past seven days and below the $4,000 mark.

The top ten cryptocurrencies by market cap saw between 1.5% and 4% gains at the time of writing.

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