Bitcoin, ETH, XRP, SOL: Are Options Data Signaling an Even Deeper Crash?

Bitcoin has just broken below its 200-week moving average — a threshold traders widely regard as the last line of long-term bullish defense. The correction now exceeds 21%, dragging ETH, XRP, and SOL into a synchronized selloff that has wiped out weeks of gains.

Against this backdrop of widespread panic, two major catalysts are converging this Friday: a massive crypto options expiration and the release of the US Nonfarm Payrolls (NFP) report. The combination of the two could amplify short-term volatility — or, on the contrary, mark a capitulation point.

Here is what the market data actually reveals about what comes next.

Bitcoin Below the 200-Week MA: A Break That Changes Everything

The 200-week moving average is one of the most closely watched indicators among institutional investors and long-term holders. Historically, Bitcoin has only closed below this level during the most severe bear market phases — most notably in 2018 and briefly in 2022. A confirmed weekly close beneath this level would send a strong structural bearish signal to the entire market.

In the options market, data from CoinGlass shows a significant buildup of puts (sell options) at strike prices below current levels for BTC. The put/call ratio remains elevated, reflecting a dominant defensive sentiment among derivatives traders. Market makers, forced to hedge their net exposure, are compelled to sell spot as the price falls — a negative gamma dynamic that mechanically accelerates the decline.

This Friday’s options expiration covers several billion dollars in open interest. Once that hurdle is cleared, the selling pressure tied to position hedging could dissipate, opening a window for stabilization — provided the macro environment does not throw another spanner in the works.

NFP + Options Expiration: Friday’s Explosive Cocktail

The Nonfarm Payrolls (NFP) released this Friday represent a top-tier macro risk event. A stronger-than-expected jobs print would reinforce expectations that the Fed will keep rates elevated for longer, weighing on risk assets — including cryptocurrencies. Conversely, a disappointing figure could reignite hopes of a monetary pivot and trigger a technical bounce.

ETH, XRP, and SOL are amplifying Bitcoin‘s correction with losses that in some cases exceed those of the market leader — a classic behavior during risk-off phases where altcoins experience a negative leverage effect. On TradingView, the key support levels to watch are: ETH around $2,000, XRP below $0.45, and SOL in the $100–$105 zone. A clean break below these levels would open the door to further downside extensions.

On-chain data from CryptoQuant also flags a rise in exchange inflows for ETH and SOL — a sign that some short-term holders are liquidating their positions, adding to selling pressure. The combination of an options expiration and a macro catalyst creates a window of extreme volatility in the hours ahead.

Capitulation or Technical Bounce: What the Data Suggests

Despite the severity of the correction, some indicators point to a possible short-term stabilization. The Fear & Greed Index has fallen back into extreme fear territory — a level that historically tends to precede technical bounces, even within broader downtrends. The mass liquidations of long positions recorded over the past 24 hours may have flushed out a portion of the excess leverage that built up during the previous bullish phase.

That said, caution remains warranted. A weekly close for Bitcoin below the 200-week MA without a swift recovery would shift the medium-term bias of many funds and systematic traders. A move back toward $70,000 — or even $65,000 — cannot be ruled out if institutional buyers fail to defend current levels with conviction.

The next key decision point comes in the hours following the NFP release: the market’s reaction to that figure, combined with the digestion of the options expiration, will shape the short-term trajectory for the entire crypto market.