TechFlow news, Greeks.live macro analyst Adam said that as the cryptocurrency market's rally slows, implied volatility across major tenors in the options market has seen a slight decline. Currently, Bitcoin (BTC) short-to-medium-term implied volatility stands at around 45%, with at-the-money implied volatility for tenors extending beyond the U.S. election generally below 60%. Ethereum (ETH) short-to-medium-term implied volatility is approximately 54%, with post-election at-the-money implied volatility around 67%.
On the block trading front, put options were particularly active today, accounting for nearly a quarter of total trading volume with turnover approaching $300 million. Notably, the BTC-25OCT24-55000-P contract saw $90 million in daily volume, predominantly driven by aggressive buying, clearly positioning ahead of the U.S. election as a protective put.
Adam speculated that large investors may plan to hold spot positions while using put options to hedge against potential downside risk.
