Deribit Exchange Data Shows Market Makers Stabilizing Bitcoin and XRP While Ether Remains Volatile

Bitcoin (BTC) and XRP (XRP) are trading within tight ranges, anchored by market makers' hedging strategies. BTC remains pinned between $108,000 and $110,000 as options market makers hold long gamma positions at these strikes, effectively dampening volatility. XRP shows a similar pattern, with a significant gamma buildup at $2.30.

Ether (ETH), however, appears prone to heightened volatility. Unlike BTC and XRP, ETH lacks the same stabilizing force from market makers, leaving it vulnerable to sharper price swings. The divergence highlights how institutional activity shapes crypto market dynamics—liquidity providers curb volatility in some assets while others remain at the mercy of speculative flows.

Deribit data reveals the mechanics: market makers profit from bid-ask spreads while maintaining neutral exposure. Their delta-hedging in futures and spot markets acts as an invisible hand, smoothing price action for BTC and XRP. For traders, this means range-bound conditions persist until a catalyst overwhelms the balancing act.