The Last Friday saw nearly $1 billion in Bitcoin options contracts expired and $150 million worth of cryptocurrencies was hacked from a major cryptocurrency exchange - KuCoin. All these exert no impact on Bitcoin and it remains steady.
As per the data from CoinMarketCap, although Bitcoin suffered various tumults, the price of Bitcoin still held strong, surging by 1.1% over the past day to $10,727.
Against the backdrop of higher-than-usual trading volumes, Bitcoin maintained the stability. Last Thursday saw the trading volumes for Bitcoin doubled from $24 billion to $52 billion, which have remained relatively steady ever since.
As such, why might more volatility have been expected? There are two main reasons - the expiry of roughly $1 billion worth of Bitcoin options and nearly half of Bitcoin's options contracts.
Bitcoin options are similar to futures contracts - way back in the past, people sign contracts to buy Bitcoin at a certain price at some point in the future. If possible, the coin will have spiked in price, which indicates that those signing the contracts can guarantee Bitcoin at price below market value.
Futures contracts allow the signatory to have the obligation to purchase the Bitcoin as soon as expiry while Bitcoin options contract just offer them the option without obligation to buy them.
Another event is that yesterday saw KuCoin suffered attacks, threatening the crypto market with volatility. More than $150 million worth of Ethereum-based cryptocurrencies and an undisclosed amount of cryptocurrencies on other blockchains, among them Bitcoin, had been stolen.
Once again, hackers had the chance to dump these cryptos on the market, allowing the market to suffer chaos. However, this hasn't exerted any influence on Bitcoin.
In this way, Bitcoin has survived a crazy 24 hours temporarily.