The term "expiration day" may be familiar to traditional financial traders, but its implications for digital currency markets are gaining increasing importance. The term "quadruple witching" refers to the expiration of four types of derivatives at the same time: stock index futures, stock index options, individual stock futures, and individual stock options. These events occur quarterly, usually on the third Friday of March, June, September, and December. Although digital currency markets do not precisely follow the same structure as equities, the growth of Bitcoin and self-financing derivatives—futures, options, and perpetual contracts—means that similar dynamics can emerge.

During these periods, large expirations in crypto derivatives, coupled with overall economic uncertainty, can create amplified volatility. Traders and investors must understand how these events interact with spot markets, hedging in derivatives, and liquidity flows in order to navigate risks effectively. Large derivative expirations coincide with activity in digital markets, presenting both opportunities and risks for market participants in the short and medium term.