Bitcoin (BTC), which enjoyed an early Christmas season flourish, saw its price rise to $48,000 on December 31.
BTC/USD 1-hour candle charts (Bitstamp). Source: TradingView
Cointelegraph Markets Pro and TradingView data showed that BTC/USD gained abruptly by more than $1,500 in an hour on Friday.
The move was a refreshing contrast to the downtrend that had been evident for several days. It also gave an indication of what might happen in a market with less liquidity than usual over the holiday period.
Futures + option expiry
— December 31, 2021, IamNomad (@IamNomad).
The December Bitcoin options expiry event was worth nearly $6 billion and could have provided some relief traders claimed. This traditionally has been a factor in BTC price action before.
An earlier survey conducted by the Bitcoin Twitter account in December revealed that most participants expected BTC/USD above $55,000 at the expiry.
Survey on Bitcoin Twitter Source: Twitter
Cointelegraph reported that there are growing expectations that institutions will play a greater role in the ownership of Bitcoin beginning next month.
Coinbase Pro, a professional trading platform, saw nearly 10,000 BTC leave its books within 24 hours of the uptick.
Altcoins are the next to receive relief
Altcoins saw volatility on Bitcoin as a constant and took advantage of it to reverse some losses.
Related: Bitcoin price will crush BCH and BSV in 2021
Ether (ETH), which is the largest altcoin in market capitalization, was traded at $3,800 at the time. Its still down 7.2% over seven days, but below $4,000, and its currently trading at about $3,800.
BITSTAMP: ETH/USD 1-hour candle charts Source: TradingView
At the time of writing, the top 10 cryptocurrencies by market capital saw gains between 1.5% to 4%.