There is a key event in the current market that cannot be ignored — the $28.5 billion options positions expiring on December 26, with derivative platforms like Deribit holding a large number of contracts. To put how important this is simply: it could shake up the market and trigger a significant wave of volatility. But how exactly it will influence the market depends on the concept of the "maximum pain point."

What is the maximum pain point? Essentially, it’s the price level on the expiration day that would render the most options contracts worthless. This gives options sellers—mainly large institutions and market makers—an incentive—they might push the price through spot trading before expiration to move the market toward their favor, reducing their potential losses.

Looking at the current data: Bitcoin’s maximum pain point is around $88,000, and Ethereum’s is about $2,900. Now, check the current quotes — Bitcoin is around $87,000, and Ethereum is just over $2,940, both hovering around these key levels. This is not a coincidence; it’s market forces at work.

So, what practical impact could this have on the market? In the short term, the selling side’s influence might cause the price to gravitate toward these pain points. Bitcoin could oscillate around $88,000 repeatedly, and Ethereum might be "pulled" toward $2,900. During this period, volatility is likely to be suppressed initially, then sharply increase around expiration — a pattern of first suppression, then rally.

Overall, the $28.5 billion options expiring is definitely a hot topic in the near term. The volatility it could unleash is significant, but the specific direction will still be influenced by multiple factors. For traders, it’s crucial to keep an eye on these key levels during this time.