Why the Crypto Market Is Seeing a Relief Rally Today (March 20)

The crypto market is staging a notable relief rally today, with Bitcoin price bouncing from its post-FOMC lows to $71,000. Ethereum, XRP, Solana, and other altcoins hold further losses after a turbulent week dominated by macro headwinds.

The crypto market cap also bounces back to $2.42 trillion, with support from derivatives traders despite extreme fear sentiment. While Bitcoin is holding key levels, an expert claims altcoins are signaling an advance to create a positioning mismatch that risks repeated stop-outs for dip buyers.

Bitcoin, Crypto Market Rise Amid Options Expiry Dynamics

Crypto market bounces and Bitcoin price jumped above $71,333 today after $1.7 billion in notional value of BTC options expired on Deribit on March 20, as CoinGape reported. The max pain price was at $70,000 and the probability of expiring above the strike price was higher.

On the other hand, 379K ETH options worth almost $380 million in notional value expired, with a put/call ratio of 1.02 and a max pain point at $2150.

Implied volatility for both Bitcoin and Ethereum is rising, indicating bullish sentiment for the short term. Also, 25-delta skew shows reduced demand for hedging downside risks. However, options traders could shift positions as the quarterly crypto options expiry on March 27 approaches.

Oil Prices Fell as Trump Promises to Release More Oil

Crypto market participants remained positive after oil prices fell after world leaders signaled readiness to support efforts to ensure safe passage through the Strait of Hormuz. US President Donald Trump also said he is not considering deploying ground troops in the US-Iran war. Meanwhile, Israel also confirmed not to attack Iranian energy infrastructure.

Meanwhile, US Treasury Secretary Scott Bessent noted that the US is exploring the removal of sanctions on Iranian oil. This is causing oil prices to drop below 93.

However, Saudi Arabia’s oil officials say prices could soar past $180 a barrel if war-related disruptions persist until late April. The International Energy Agency also warned that a historic supply disruption faced by global oil markets amid Middle East tensions.

Experts Predict Crypto Market Recovery

Crypto market expert 10x Research said their models signaled a critical inflection point in Bitcoin. It claimed that tactical positioning, not directional prediction, will determine returns. The model also favors altcoins as dominance declines, with potential for upside momentum.

“In a bear-market regime, buying dips is ineffective, and traders should instead focus on capturing short-term momentum. Token unlock pressure is fading and low volumes suggest a lack of sellers, supporting crypto’s relative resilience,” 10x Research added.

Bitcoin price wavers amid pressure from the delay in Fed rate cuts and spot Bitcoin ETF outflows. However, institutions and derivatives traders holding key support levels have indicated signs of a relief rally in the crypto market.

Moreover, Ethereum and Solana prices remain supported by institutional accumulation. Bitmine’s Tom Lee called Ethereum’s cycle bottom, citing a 93% correlation with the S&P 500’s 1987 and 2011 crashes.

XRP price is supported by strong retail demand and expanding utility, though institutional flows remain more cautious. Analysts forecast XRP rising to $1.5 in the coming days.

Analyst Ted Pillows predicts a final bounce in Bitcoin price before the big nuke. He also added that the Ethereum price bounced back from its $2,100 support zone, but it looks weak.

He anticipates Ethereum price could drop below the $2,100 level again, given rising macro uncertainty and low institutional demand.