Cryptocurrency exchange Bybit, in collaboration with Block Scholes, released an analytics report on crypto volatility covering market shifts in ETH and BTC. Despite notable price swings, the options market shows low responsiveness to the changes.
Cryptocurrency Volatility Analysis
The report notes that while the realized volatility of ETH and BTC is increasing, the options market hasn't shown similar responsiveness. This occurs amid spot price shifts, with ETH's volatility structure showing unique changes.
Major BTC Options Expirations and Their Implications
The end of December sees significant BTC options expirations worth $360 million. This may cause additional volatility given the persistent high open interest in Bitcoin options.
Volatility Structure and Open Interest in ETH
ETH's volatility structure remains at last month's level, while interest in ETH options is focused on call options, despite market activities leaning towards puts.
The report by Bybit and Block Scholes highlights the importance of monitoring ETH and BTC volatility changes. Upcoming options expirations can impact price movements and introduce uncertainty to the market.
