TI Weekly Options Market: The Market Is Going Up - 2020 Week1
At around 9 pm on January 2nd, the price of Bitcoin broke through the $30,000, increasing by more than 15% within 24 hours, and once exceeded $34,000 the next day. The options trading is more suitable for professional investors, and the signals of professional investors in the market can be used as one of the indicators of the future direction of the market to a certain extent.
- It’s no surprise that implied vol is through the roof for BTC options.
- Skews are positive across the board, yet 0-10 delta tails are symmetrical for ST and MT options.
- Once above $20k, BTC had no problem getting above $30k quickly. This increase in realized vol. has brought ATM IV levels to the 100% range. The highest in years.
- BTC skew showed a lot of variation in the past 2 weeks. Although FOMO buying in OTM calls tends to occur on big rallies, we also saw an appetite to hedge tail risk by buying OTM puts…. These counteracting forces created a large range in BTC skew.
The news, articles, reports or other information we provide are based on public sources considered to be reliable, but TokenInsight does not guarantee the accuracy or completeness of any information contained herein. The news/articles/reports or other information had been prepared for informative purposes only and does not constitute an offer or a recommendation to purchase, hold, or sell any digital assets (cryptocurrencies, coins, and tokens) or to engage in any investment activities. Any opinions or expressions herein reflect a judgment made as of the date of publication, and TokenInsight reserves the right to withdraw or amend its acknowledgment at any time in its sole discretion. TokenInsight will periodically or irregularly track the subjects of news/articles/reports or other information we provide to determine whether to adjust the acknowledgement and will publish them in a timely manner.
We adhere to high standards and values of reporting news, and we do our best to be objective and unbiased at all times.
TokenInsight takes its due diligence to ensure news/articles/reports or other information we provide a true and fair view without potential influences of any third party. There is no association between TokenInsight and the subject referred in the contents which would harm the objectivity, independence, and impartiality of the reporting.
Trading and investing in digital assets (cryptocurrencies, coins, and tokens) may involve significant risks including price volatility and illiquidity. Investors should be fully aware of the potential risks and are not to construe the content of the report as the only information for investment activities. None of the products or TokenInsight Inc, nor any of its authors or employees shall be liable to any party for its direct or indirect losses alleged to have been suffered on account thereof.
All rights reserved to TokenInsight.