Matrixport Analysis Reveals Decline in Bitcoin and Ethereum Option Exposure

PANews reported on January 14 that Matrixport highlighted a significant decrease in Bitcoin and Ethereum options’ market impact, reflecting a marked decline in derivatives activity.

This trend underscores a shift towards more selective capital allocations, reducing spot price volatility and demonstrating ongoing deleveraging in crypto markets.

Bitcoin and Ethereum Option Exposures Drop by Billions

Matrixport has observed that the options-related positions in Bitcoin and Ethereum have markedly reduced since their peaks in 2025, with Bitcoin’s exposure diving from $52 billion to roughly $28 billion. Such a shift indicates a major change in market behavior and underscores a careful approach by market participants.

The decline in options exposure has dampened spot price volatility, influencing immediate market conditions. Investors are now adopting more selective strategies as short-term capital inflows wane. The slow unwinding of hedging combinations in Ethereum futures indicates a strategic shift in investment practices.

Jihan Wu, CEO, Matrixport, – “Matrixport is focusing on digital asset analysis and has been significantly impacted by recent market dynamics as seen through the notable decline in options exposure and futures open interest.”

Notable reactions or statements from key industry figures have been scarce. As of now, there have been no significant public reactions from prominent market leaders or regulators on the options exposure reduction. The market is closely monitoring these shifts for further developments.

Historical Market Trends and Regulatory Implications

Did you know? The decrease in Bitcoin and Ethereum options trading mirrors historical trends seen after major market corrections, where reduced leverage aids market stabilization and investor confidence.

As of the latest update from CoinMarketCap, Bitcoin’s current price is $94,962.20, with a market cap of $1.90 trillion, accounting for a dominance of 58.49%. Over the past 24 hours, Bitcoin’s trading volume reached $60.80 billion, rising by 61.82%. The price has increased by 3.26% within the same period and 2.41% over the past week.

Coincu’s research team suggests that the ongoing deleveraging could potentially lead to a healthier, more sustainable market environment. This outcome may prompt regulatory bodies to evaluate the current derivatives landscape and potentially introduce innovative frameworks to ensure market integrity and investor protection.