Bitcoin options trade shows more bets on retreat after failing to breach $100,000
Bitcoin hit a record high of $99,830 on Nov. 22, but it has since fallen more than 8% to a one-week low of 91,377.32 on Tuesday.
The best-known cryptocurrency has soared 120% so far this year and about 34% this month with the election of Donald Trump as U.S. president and a slew of pro-crypto lawmakers in Congress. Trump embraced digital assets during his campaign, promising to make the United States the «crypto capital of the planet,» and accumulate a national stockpile of bitcoin.
Nick Forster, founder of onchain options decentralized protocol Derive with total trade volume of $7.1 billion, said in emailed comments on Tuesday that the so-called call-put skew index for the upcoming Dec. 27 bitcoin expiry showed a significant 30% drop in the last 24 hours, as market participants shifted toward more protective strategies.
Did you Know?
The world of cryptocurrencies is very dynamic. Prices can go up or down in a matter of seconds. Thus, having reliable answers to such questions is crucial for investors.
View Details»The call-put skew, which reflects market sentiment, refers to the difference in implied volatility between calls (options to buy) and puts (options to sell). This skew still shows a preponderance of calls over puts,
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