diff --git a/example/app/src/screens/advanced/ScrollableDynamicHeightExample.tsx b/example/app/src/screens/advanced/ScrollableDynamicHeightExample.tsx
new file mode 100644
index 000000000..dfdc5ecfc
--- /dev/null
+++ b/example/app/src/screens/advanced/ScrollableDynamicHeightExample.tsx
@@ -0,0 +1,165 @@
+import React, { useCallback, useRef, useState } from 'react';
+import { View, StyleSheet, Text } from 'react-native';
+import BottomSheet, {
+  BottomSheetScrollView,
+  useMaxHeightScrollableBottomSheet,
+} from '@gorhom/bottom-sheet';
+import { Button } from '../../components/button';
+type CSSHeight = `${number}%` | number;
+
+const DynamicSnapPointExample = () => {
+  // state
+  const [count, setCount] = useState(3);
+  const [maxHeight, setMaxHeight] = useState<CSSHeight>();
+  // hooks
+  const bottomSheetRef = useRef<BottomSheet>(null);
+  const {
+    animatedHandleHeight,
+    animatedSnapPoints,
+    animatedContentHeight,
+    handleContentLayout,
+    innerScrollViewAnimatedStyles,
+  } = useMaxHeightScrollableBottomSheet(maxHeight);
+  // callbacks
+
+  const handleExpandPress = useCallback(() => {
+    bottomSheetRef.current?.expand();
+  }, []);
+  const handleClosePress = useCallback(() => {
+    bottomSheetRef.current?.close();
+  }, []);
+
+  const changeItemsCount = useCallback((direction: 1 | -1) => {
+    setCount(state => state + direction);
+  }, []);
+
+  // styles
+
+  // renders
+  return (
+    <View style={styles.container}>
+      <Button label="Expand" onPress={handleExpandPress} />
+      <Button label="Close" onPress={handleClosePress} />
+
+      <BottomSheet
+        ref={bottomSheetRef}
+        snapPoints={animatedSnapPoints}
+        handleHeight={animatedHandleHeight}
+        contentHeight={animatedContentHeight}
+        enablePanDownToClose={true}
+        animateOnMount={true}
+      >
+        <BottomSheetScrollView
+          style={innerScrollViewAnimatedStyles}
+          onLayout={handleContentLayout}
+          scrollEnabled={true}
+        >
+          <View style={styles.actionsContainer}>
+            <View style={styles.buttonGroup}>
+              <Button
+                label="default (50%)"
+                onPress={() => {
+                  setMaxHeight(undefined);
+                  handleExpandPress();
+                }}
+              />
+              <Button
+                label="75%"
+                onPress={() => {
+                  setMaxHeight('75%');
+                  handleExpandPress();
+                }}
+              />
+              <Button
+                label="100%"
+                onPress={() => {
+                  setMaxHeight('100%');
+                  handleExpandPress();
+                }}
+              />
+              <Button
+                label="150px"
+                onPress={() => {
+                  setMaxHeight(150);
+                  handleExpandPress();
+                }}
+              />
+            </View>
+            <View style={styles.buttonGroup}>
+              <Button
+                style={styles.button}
+                label="Add Item"
+                onPress={() => changeItemsCount(1)}
+              />
+              <View style={styles.gap} />
+              <Button
+                style={styles.button}
+                label="Remove Item"
+                onPress={() => changeItemsCount(-1)}
+              />
+            </View>
+            <View style={styles.buttonGroup}>
+              <Button
+                style={styles.button}
+                label="Add 100 items"
+                onPress={() => setCount(100)}
+              />
+
+              <View style={styles.gap} />
+              <Button
+                style={styles.button}
+                label="Remove all"
+                onPress={() => setCount(0)}
+              />
+            </View>
+          </View>
+          {Array.from({ length: count }).map((_, index) => (
+            <View key={index} style={styles.item}>
+              <Text style={styles.itemText}>👋 I am a item 👋</Text>
+            </View>
+          ))}
+        </BottomSheetScrollView>
+      </BottomSheet>
+    </View>
+  );
+};
+
+const styles = StyleSheet.create({
+  container: {
+    flex: 1,
+    padding: 24,
+  },
+  contentContainerStyle: {
+    paddingTop: 12,
+    paddingBottom: 6,
+    paddingHorizontal: 24,
+  },
+  item: {
+    alignContent: 'center',
+    height: 50,
+    width: '100%',
+  },
+  itemText: {
+    fontSize: 16,
+    width: '100%',
+    textAlign: 'center',
+  },
+  button: {
+    flex: 1,
+    flexShrink: 1,
+  },
+  buttonGroup: {
+    width: '100%',
+    flexDirection: 'row',
+    justifyContent: 'space-between',
+  },
+  gap: {
+    width: 12,
+    height: '100%',
+  },
+  actionsContainer: {
+    padding: 12,
+  },
+});
+
+export default DynamicSnapPointExample;
diff --git a/example/app/src/screens/index.ts b/example/app/src/screens/index.ts
index 69abdf95c..c67a7f272 100644
--- a/example/app/src/screens/index.ts
+++ b/example/app/src/screens/index.ts
@@ -119,6 +119,12 @@ export const screens = [
           require('./advanced/customGestureHandling/CustomGestureHandling')
             .default,
       },
+      {
+        name: 'Max height scrollable sheet',
+        slug: 'Advanced/ScrollableDynamicHeightExample',
+        getScreen: () =>
+          require('./advanced/ScrollableDynamicHeightExample').default,
+      },
     ] as ShowcaseExampleScreenType[],
   },
 ];
diff --git a/src/hooks/index.ts b/src/hooks/index.ts
index 52e9ec7fd..19cc6b317 100644
--- a/src/hooks/index.ts
+++ b/src/hooks/index.ts
@@ -22,3 +22,4 @@ export { useNormalizedSnapPoints } from './useNormalizedSnapPoints';
 export { useReactiveSharedValue } from './useReactiveSharedValue';
 export { useBottomSheetDynamicSnapPoints } from './useBottomSheetDynamicSnapPoints';
 export { useBottomSheetGestureHandlers } from './useBottomSheetGestureHandlers';
+export { useMaxHeightScrollableBottomSheet } from './useMaxHeightScrollableBottomSheet';
diff --git a/src/hooks/useMaxHeightScrollableBottomSheet.ts b/src/hooks/useMaxHeightScrollableBottomSheet.ts
new file mode 100644
index 000000000..c068090b1
--- /dev/null
+++ b/src/hooks/useMaxHeightScrollableBottomSheet.ts
@@ -0,0 +1,53 @@
+import { useWindowDimensions } from 'react-native';
+import { useDerivedValue, useAnimatedStyle } from 'react-native-reanimated';
+import { useBottomSheetDynamicSnapPoints } from './useBottomSheetDynamicSnapPoints';
+type CSSHeight = `${number}%` | number;
+
+export const useMaxHeightScrollableBottomSheet = (
+  maxHeight?: CSSHeight | false
+) => {
+  const deviceHeight = useWindowDimensions().height;
+  const {
+    animatedHandleHeight,
+    animatedSnapPoints,
+    animatedContentHeight,
+    handleContentLayout,
+  } = useBottomSheetDynamicSnapPoints(['CONTENT_HEIGHT']);
+
+  const derivedSnapPoints = useDerivedValue(() => {
+    // we get the dynamic size from the animatedSnapPoints
+    const dynamicHeight = animatedSnapPoints.value[0];
+    // if no fillHeight is provided, we use the default height (50%)
+    const fixedHeight = maxHeight === false ? undefined : maxHeight ?? '50%';
+    if (!fixedHeight) return [dynamicHeight];
+    // we calculate the fillHeight based on the device height
+    const paredFixedHeight =
+      typeof fixedHeight === 'number'
+        ? fixedHeight
+        : (parseInt(fixedHeight.replace('%', ''), 10) / 100) * deviceHeight;
+
+    return typeof dynamicHeight === 'number' &&
+      dynamicHeight <= paredFixedHeight
+      ? [dynamicHeight]
+      : [paredFixedHeight];
+  }, [deviceHeight, maxHeight]);
+
+  // changing the height of the inner scroll view
+  // based on the snap point calculated above
+  const innerScrollViewAnimatedStyles = useAnimatedStyle(() => {
+    // we do not set maxHeight until the hook is ready
+    // due to performance issues
+    if (animatedHandleHeight.value === -999) return {};
+    return {
+      maxHeight: derivedSnapPoints.value[0],
+    };
+  }, []);
+
+  return {
+    animatedHandleHeight,
+    animatedContentHeight,
+    handleContentLayout,
+    animatedSnapPoints: derivedSnapPoints,
+    innerScrollViewAnimatedStyles,
+  };
+};
diff --git a/src/index.ts b/src/index.ts
index 68bb3abf6..083431b32 100644
--- a/src/index.ts
+++ b/src/index.ts
@@ -13,6 +13,7 @@ export { useBottomSheetTimingConfigs } from './hooks/useBottomSheetTimingConfigs
 export { useBottomSheetInternal } from './hooks/useBottomSheetInternal';
 export { useBottomSheetModalInternal } from './hooks/useBottomSheetModalInternal';
 export { useBottomSheetDynamicSnapPoints } from './hooks/useBottomSheetDynamicSnapPoints';
+export { useMaxHeightScrollableBottomSheet } from './hooks/useMaxHeightScrollableBottomSheet';
 export { useScrollEventsHandlersDefault } from './hooks/useScrollEventsHandlersDefault';
 export { useGestureEventsHandlersDefault } from './hooks/useGestureEventsHandlersDefault';
 export { useBottomSheetGestureHandlers } from './hooks/useBottomSheetGestureHandlers';