Bitcoin has spent the majority of December 2025 trading within a tight range between $85,000 and $90,000, with dealer hedging tied to heavy options exposure keeping the cryptocurrency pinned. As the year draws to a close, BTC faces its largest options expiry event of 2025.

Current Market Conditions

As of late December 2025, Bitcoin trades around $88,039 after an intraday range of approximately $87,218 to $88,452. The cryptocurrency has struggled to break out of its consolidation range despite several attempts.

Key Price Levels

  • Support: $85,000 – Strong buying interest emerges at this level
  • Resistance: $90,000 – Selling pressure consistent near this mark
  • Critical Level: $100,000 – Psychological barrier remains in focus

Record Options Expiry

Approximately $30.3 billion in BTC options were set to expire on Friday, marking one of the largest expiry events in cryptocurrency history. The options market shows a bullish tilt with a put-call ratio of just 0.38 – meaning nearly three times as many call options (bullish bets) as puts (bearish bets).

This large expiry could trigger significant volatility as market makers adjust their hedging positions, potentially allowing Bitcoin to break free from its current range.

ETF Activity and Institutional Flows

Spot Bitcoin ETFs recorded another day of net outflows during the holiday trading period, adding pressure to an already challenging environment. Thin liquidity conditions during the Christmas period amplified price movements.

However, the long-term institutional adoption trend remains intact:

  • Digital Asset Treasuries (DATs) added 42,000 BTC from mid-November to mid-December
  • Aggregate corporate holdings reached 1.09 million BTC
  • This represents a 4% month-over-month increase in institutional holdings

Metaplanet’s Bold Bitcoin Plan

In a significant development, Japan’s Metaplanet received shareholder approval for an ambitious plan to acquire 210,000 Bitcoin by 2027 – representing 1% of BTC’s total supply. This announcement highlights continued corporate interest in Bitcoin as a treasury asset.

Mining Sector Challenges

The Bitcoin mining industry faces headwinds as network hashing power (30-day moving average) fell 4% over the past 30 days – the largest decline since April 2024. Contributing factors include:

  • Chinese miners in Xinjiang shut down 1.3 GW of capacity amid government scrutiny
  • Rising energy costs in key mining regions
  • Post-halving profitability pressures

Unusual Market Event

Bitcoin briefly dropped to $24,111 on Binance’s BTC/USD1 pair on December 25 before quickly rebounding above $87,000. The flash crash was isolated to a stablecoin pair backed by World Liberty Financial and did not affect other major BTC pairs or exchanges.

2025 Year in Review

Bitcoin has endured a challenging 2025, falling short of the bullish expectations that dominated market sentiment at the start of the year. Key takeaways include:

  • Structural progress in institutional adoption continued
  • Total Value Locked (TVL) increased across major ecosystems
  • Most large-cap Layer-1 tokens finished with negative or flat returns
  • Regulatory clarity improved in several jurisdictions

2026 Price Predictions

Market analysts remain divided on Bitcoin’s trajectory for 2026:

  • Bullish Case: Some analysts predict Bitcoin could reach $250,000 by 2026, based on historical cycle patterns
  • Base Case: Continued consolidation before next major move higher
  • Bearish Risk: Global macro conditions could pressure risk assets including crypto

Investors should monitor key catalysts including ETF inflow trends, halving cycle dynamics, and broader macroeconomic conditions as 2026 unfolds.