Bybit X Block Scholes Crypto Derivatives Analytics Report (Oct 16, 2024): BTC Options Volatility Front-Runs U.S. Election

Key Highlights:

• Our weekly crypto derivatives analytics report dives into macro events, the current state of crypto and trading signals from spot trading volume and futures, options and perpetual contracts.

Despite the recent surge in spot prices, there remains a significant gap between long- and short-dated implied volatility. As a result, market participants are focusing more on post-U.S.-election expectations rather than the recent bullish trends in spot prices. This shift has resulted in a rise in realized 7-day volatility, which now aligns with the implied volatility levels of 30-day tenor options. Additionally, bullish responses to spot price movements are evident in perpetual funding rates, which are now positive for nearly all tokens.

Please check out the report’s highlights.