Bitcoin (BTC) traded near $89,000 on December 26 after recovering from earlier weakness.
The cryptocurrency market remained range-bound during the holiday period as thin trading conditions amplified price volatility.
U.S. spot Bitcoin ETFs recorded $175.3 million in net outflows on December 24, marking the fifth consecutive day of withdrawals.
Ethereum (ETH) ETFs saw $52.7 million in outflows during the same period.
The persistent redemptions have pressured cryptocurrency prices below key resistance levels.
What Happened
Bitcoin traded between $86,897 and $89,188 on December 26 as markets awaited a major options expiry.
Approximately $23.7 billion in Bitcoin options contracts were scheduled to expire on December 26, according to multiple market reports.
This represented one of the largest year-end options expirations in cryptocurrency history.
BlackRock's IBIT led Bitcoin ETF outflows with $91.4 million in redemptions on December 24.
Grayscale products recorded combined outflows of $30.4 million during the same session.
For Ethereum ETFs, Grayscale's ETHE led redemptions with $33.8 million in outflows.
Trading volumes remained suppressed across major exchanges due to the Christmas holiday period.
The reduced liquidity created conditions for heightened volatility around key technical levels.
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Why It Matters
The sustained ETF outflows challenge the institutional adoption narrative that supported Bitcoin's rise earlier in 2025.
Cryptocurrency markets reached a peak near $126,000 in October before entering a correction phase.
The current consolidation below $90,000 represents approximately 30% below that all-time high.
Year-end positioning and tax-loss harvesting likely contributed to the redemption pressure in ETF products.
Thin holiday liquidity amplified the impact of relatively modest capital movements on spot prices.
Analysts suggested the options expiry could determine near-term directional bias once settled.
The broader altcoin market remained mixed, with major tokens trading without strong conviction.
Ethereum held below $3,000 while other large-cap cryptocurrencies showed minimal movement.
Market participants await increased liquidity conditions in January to establish clearer trends.
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